{"id":34664,"date":"2018-10-31T12:46:37","date_gmt":"2018-10-31T07:16:37","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=34664"},"modified":"2018-10-31T12:46:37","modified_gmt":"2018-10-31T07:16:37","slug":"a-new-industrial-policy-for-bharat","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/a-new-industrial-policy-for-bharat\/","title":{"rendered":"A new industrial policy for Bharat:\u00a0"},"content":{"rendered":"<p><a href=\"http:\/\/www.livemint.com\/Opinion\/zNSs9mYJupx0exXBjTcKSN\/A-new-industrial-policy-for-Bharat.html\"><span style=\"font-weight: 400;\">A new industrial policy for Bharat<\/span><\/a><span style=\"font-weight: 400;\">:\u00a0<\/span><\/p>\n<p><b>Context:<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Department of Industrial Policy and Promotion, Ministry of Commerce and Industry initiated the process of formulation of a new Industrial Policy recently.<\/span><\/p>\n<p><b>Introduction:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Since the last Industrial Policy announced in 1991, India has transformed into one of the fastest growing economies in the world. With strong macro-economic fundamentals and several path breaking reforms in the last three years, India is equipped to deploy a different set of ideas and strategies to build a globally competitive Indian industry. <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The new Industrial Policy will subsume the National Manufacturing Policy.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A Task Force on Artificial Intelligence for India\u2019s Economic Transformation has also been constituted which will provide inputs for the policy. <\/span><\/li>\n<\/ul>\n<p><b>Why there is need for new industrial policy?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A recent report by Deloitte LLP pointed out that India\u2019s young population will drive its economic growth to overtake China and other Asian tigers in the next few decades.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The potential workforce in India is set to increase from 885 million to 1.08 billion in the next 20 years.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">In this context the discussion paper on Industrial Policy 2017, released recently by the Department of Industrial Policy and Promotion (DIPP), becomes relevant.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The new industrial policy aimed at building a globally competitive Indian industry equipped with skill, scale and technology.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is proposed that the new Industrial Policy will aim at making India a manufacturing hub by promoting \u2018Make in India\u2019. <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will also suitably incorporate the use of modern smart technologies such as IOT, artificial intelligence and robotics for advanced manufacturing.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The Economic Survey 2016-17 pointed out that he richer peninsular states in India will witness a sharp increase in working age populations, followed by a sharp decline.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is an opportunity to address the problems of low Research &amp; Development spending and tough competition from cheap Chinese imports<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Micro, the small and medium enterprises sector facing tough competition from cheap imports from China and other countries with which India has free trade agreements<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It recognizes the need to gainfully employ a growing workforce<\/span><\/li>\n<\/ul>\n<p><b>What needs to be done?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">For India to realize its economic potential, it is this young population which needs to be tapped and provided opportunities.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Significant migration in search of better sources of livelihood is also being witnessed from such areas towards urban centres, which needs to be carefully managed.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A new industrial policy for India must necessarily discuss ideas for creating jobs <\/span><i><span style=\"font-weight: 400;\">for<\/span><\/i><span style=\"font-weight: 400;\"> and <\/span><i><span style=\"font-weight: 400;\">in <\/span><\/i><span style=\"font-weight: 400;\">Bharat.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">There is need to promote competition, enhancing the competitiveness of domestic industry, and strengthening global linkages and value chains.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Any design of industrial policy must appreciate its linkages and interaction with agriculture and services policies<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is important to institutionalize such a whole-of-government approach and authorize a powerful nodal department in the prime minister\u2019s office to ensure coherence through coordination with different departments and related stakeholders, and enable swift decision making within predetermined time frames.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Any industrial policy design must note its linkages with agriculture and services policies at a granular level, and with trade and competition at a broader level.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India\u2019s new industrial policy must focus on improving overall competitiveness and avoid the lure of protectionism.<\/span><\/li>\n<\/ul>\n<p><b>Conclusion:<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A new forward-looking industrial policy for India must have Bharat as its soul. It must prioritize the creation of livelihoods in rural and semi-urban areas, and should recognize the importance of growth in the rural non-farm and agriculture-allied economy for industrial development.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A long-term view needs to be taken on competition and trade-related issues, and the industrial policy should avoid the temptation of short-term benefits of over-protectionism.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A new industrial policy for Bharat:\u00a0 Context: The Department of Industrial Policy and Promotion, Ministry of Commerce and Industry initiated the process of formulation of a new Industrial Policy recently. Introduction: Since the last Industrial Policy announced in 1991, India has transformed into one of the fastest growing economies in the world. With strong macro-economic&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/a-new-industrial-policy-for-bharat\/\">Continue reading <span class=\"screen-reader-text\">A new industrial policy for Bharat:\u00a0<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[],"class_list":["post-34664","post","type-post","status-publish","format-standard","hentry","category-test-1","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704774189},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/34664","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=34664"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/34664\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=34664"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=34664"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=34664"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}