Sunrise Sectors

News: India aims to double the share of manufacturing in GDP to 23% helped by sunrise sectors.

About Sunrise Sectors

• It refers to industries that are relatively new, rapidly growing, and have significant potential to drive future economic growth, innovation, and employment.
• Features:
  • High rates of expansion
  • Technological advancement
  • Ability to attract substantial investments and talent
• Importance of sunrise sector: It helps in scaling up manufacturing potential of a country to absorb a youthful workforce, reduce import dependencies and build competitive global supply chains.

Sunrise sectors in India

• India aims to significantly boost its manufacturing sector’s contribution to GDP from 12% to 23% in the next two decades, prioritizing job creation and economic expansion.
• Recognition: The Indian government has identified 14 sunrise sectors such as semiconductors, renewable energy components, medical devices, pharmaceuticals, hydrogen mission, electrical vehicles and batteries, Agro and Food Processing (A&FP) and so on in order to strengthen manufacturing.
• India has introduced the production-linked incentive (PLI) scheme to promote them.
  • PLI is also offered to sectors that also have greater employment potential like electronic goods and similarly labour intensive sectors like textile and leather.