The government is focusing on Make In India to revive the country’s economy to a standard rate. Domestic and Foreign manufacturers could be offered fiscal incentives. To support Make In India, the government is also planning to increase the import duty rates to make them expensive.
Why the sudden push for Make In India?
During the previous video conference of all the cabinet ministers and CMs, Narendra Modi stressed on the importance of improving the economy rate of the country to make up for the impact of the lockdown. This resulted in the government’s lockdown exit plan to strengthen the Make In India program.
According to a report, the primary sectors to come under Make In India include electronic devices, organic chemicals, medical equipment, and plastic products. The PM stressed electronic manufacturing and has brought out incentives to companies like Samsung, Vivo, etc., to manufacture their products in India.
As for the medical sector, the country has realized that the medical infrastructure should be developed considerably to face crises such as Coronavirus. As India is the second-most populous country in the world, it should see many more emerging medical startups as that would give a boost to the economy.
Foreign manufactures expect an increase in the prices of import duty:
To support Make In India, the government has decided to increase the prices of import duty. E-commerce giants like Amazon and the Walmart owned Flipkart will face a hurdle now. On the other hand, the local sellers and small-time manufacturers will see an increase in the sales of their products exponentially. This would increase the economy rate gradually.
Many MNCs are now planning to camp and start producing their products in India.