Terming the Make in India Campaign as ‘extremely progressive’, industry experts and analysts said the move would not only help make India a hub of manufacturing but also make economic growth more inclusive.
They, however, added that for the campaign to succeed, hurdles such as infrastructure bottlenecks, environmental clearances and unfriendly tax regime needed to be removed to create a level-playing field for manufacturing in the country vis-a-vis imports.
Confederation of Indian Industry President Ajay Shriram said, “It (the campaign) is the only way to generate employment for the large pool of young people joining the labour force every year. As mentioned by the Prime Minister, the purchasing power of the people can be enhanced and demand created only if they have employment opportunities.”
Toyota Kirloskar Motor Pvt. Ltd. Managing Director Naomi Isshi said, “…The campaign will mutually benefit many countries, from employment generation to the global exchange of talent and expertise. The campaign highlights global vision through both ‘Look East’ and ‘Link West’ policy, which will further ensure stronger bilateral ties between countries and continents.”
On the challenges towards making this campaign a success, Shantanu Das Gupta, Vice-President (Corporate Affairs & Strategy), Asia South at Whirlpool of India, said the ‘make versus buy’ is a financial decision that companies made based on a number of factors. To boost manufacturing, the supply base of component and materials needed to be improved, demand accelerated, besides overcoming challenges like developing adequate infrastructure, providing skilled manpower and removing procedural and regulatory formalities.
Likewise, Krupa Venkatesh, Senior Director, Deloitte in India, commented, “For long, it has been believed that, as an economy, India neglected manufacturing and relied more on the service sector for growth. In this context, the ‘Make in India’ comes as a welcome move. However, businesses still continue to be wary of the uncertainty and complexity in our taxation system… Therefore, a fair tax environment is the need of the hour if the campaign is to succeed. Early implementation of the GST will certainly send out positive signals that the intent is going to be translated to action in right earnest.’’
Sumit Sawhney — Country CEO & MD Renault In India, said, “The formation of a stable government has already led to tremendous optimism for progress, and we are already witnessing an improvement in macro-economic factors including the improving GDP, surge of the stock market, and measures to control inflation. The Make in India program will only help build this momentum towards making India a manufacturing powerhouse.”