Table of Contents
1. Growth Push to Homegrown Brands
2. Major Growth in India’s Exports of Goods and Services
3. Change in Consumer Behavior
4. Boost to Ease of Doing Business Index
5. Entry of Global Brands into the Indian Market
6. Boosting Employment in the Country
7. Ensuring Economic Development in Various Sectors
8. Cost Reduction for Products
9. Stronger Category Penetration
10. Moving Faster to India’s $5 Trillion Economic Goal
Launched in 2014 by Prime Minister Shri Narendra Modi, the ‘Make in India‘ campaign was a visionary initiative aimed at transforming India into a global manufacturing hub. As we delve into a 10-year retrospective, it becomes evident that the campaign has not only been a catalyst for economic growth but has also triggered a paradigm shift in various facets of India’s economic landscape. Here are 10 ways the ‘Make in India‘ campaign has been a success in India, boosting the national economy as well as the world economy.
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1. Growth Push to Homegrown Brands
One of the most significant achievements of the ‘Make in India‘ campaign has been the impetus it provided to homegrown brands. With a focus on fostering indigenous manufacturing, several sectors witnessed the rise of Indian brands, ranging from electronics to apparel. This growth not only contributed to the economy but also bolstered national pride.
Initiatives like the Electronics Manufacturing Clusters scheme have furnished startups with essential infrastructural support, resulting in the development of globally competitive products. Projections indicate that India’s exports are poised to reach $900 billion, underscoring the success of indigenous brands on the international stage.
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2. Major Growth in India’s Exports of Goods and Services
A pivotal success of the ‘Make in India‘ campaign is the substantial increase in India’s exports. The initiative facilitated a wholesome environment for businesses to flourish, resulting in a surge in the export of goods and services. This not only strengthened India’s position in the global market but also contributed significantly to the growth of the Indian economy.
The concerted emphasis on attracting foreign investment and initiatives like the Electronics Manufacturing Clusters scheme has not only uplifted indigenous brands but has also driven a significant surge in India’s exports of goods and services. The projected $900 billion for the current fiscal year represents a considerable upswing, affirming the triumph of Make in India in fostering a resilient domestic market and empowering local businesses to vie globally.
3. Change in Consumer Behavior due to ‘Make in India’
The ‘Make in India‘ campaign sparked a change in consumer behavior, with an increasing preference for locally manufactured products. The awareness created around the campaign encouraged citizens to choose indigenous goods, further supporting the growth of domestic industries. The economic growth rate in India was around 7 – 8% in 2023.
Approximately 60 percent of Indian consumers express a desire to replace foreign brands with domestic ones, grounded in the belief that indigenous brands better cater to local tastes and cultural nuances. This shift is observable across various industries, exemplified by the Indian wearables market, poised to become the world’s largest by the end of 2023.
4. Boost to Ease of Doing Business Index
In tandem with the ‘Make in India‘ campaign, there was a concerted effort to improve the business environment in India. The government’s initiatives led to a substantial boost in the Ease of Doing Business index, making it more attractive for both domestic and foreign investors to set up and expand their operations in the country.
In the last decade, Government-led reforms streamlined regulatory processes and fostered good business environment. This catalyzed entrepreneurship and attracted foreign direct investment (FDI). This has not only elevated the quality and reliability of indigenous brands but has also encouraged healthy competition through the entry of global brands into the Indian market.
5. Entry of Global Brands into the Indian Market
The campaign not only focused on nurturing local businesses but also attracted global giants to set up manufacturing units in India. This not only enhanced the country’s technological capabilities but also created job opportunities and brought in advanced manufacturing practices, thereby ensuring economic progress in India.
A competitive landscape has engendered an ethos of continuous improvement, efficiency, and creativity. It has also exposed Indian consumers to a broader spectrum of choices, compelling indigenous brands to deliver enhanced products and services, marked by ingenuity.
6. Boosting Employment in the Country
One of the primary objectives of the ‘Make in India‘ campaign was to generate employment opportunities. Over the past decade, the campaign has played a pivotal role in reducing unemployment rates by creating jobs across various sectors, ranging from manufacturing to services.
‘Make in India’ has facilitated investment, stimulated innovation, promoted skill development, and safeguarded intellectual property, resulting in substantial employment opportunities. By transforming India into a global manufacturing hub, the initiative has not only generated jobs but has also enhanced skill development through programs like Skill India, thereby bolstering the employability of the workforce and the national economy of India.
7. Ensuring Economic Development in Various Sectors
The impact of the campaign is not limited to a specific sector. Its success is evident in the comprehensive economic development across diverse industries such as automotive, textiles, electronics, and pharmaceuticals, fostering a balanced and sustainable India economic growth trajectory.
The initiative’s focus on attracting investments and promoting domestic manufacturing has positioned India as one of the largest markets for manufacturing and smartwatches. Reforms in regulatory processes and the establishment of a favorable business environment have not only galvanized domestic entrepreneurs but have also attracted Foreign Direct Investment (FDI), ensuring economic development across diverse sectors.
8. Cost Reduction for Products
Make in India has facilitated cost reduction for products, enabling comprehensive market penetration and nurturing a resilient domestic market. As the campaign gained momentum, economies of scale and improved efficiency led to a reduction in manufacturing-costs. This, in turn, translated into more affordable products for consumers, driving demand and contributing to the overall economic growth.
Today, local businesses are harnessing the potential of the Indian market and effectively competing globally, establishing a mutually beneficial scenario for both consumers and producers.
9. Stronger Category Penetration
The ‘Make in India‘ initiative facilitated deeper penetration of manufacturing across a wide array of product categories. This diversification not only broadened the economic base but also ensured that India became a self-reliant nation in various sectors.
This has not only expanded the reach of these brands but has also contributed to the growth of various sectors, illustrating the versatility and adaptability of Indian businesses.
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10. Moving Faster to India’s $5 Trillion Economic Goal
Perhaps the most significant testament to the success of the campaign is its role in propelling India closer to the ambitious $5 trillion economic goal. The enhanced manufacturing capabilities and economic growth facilitated by ‘Make in India‘ have played a crucial role in advancing India’s economic stature on the global stage.
It has also positioned India as the second most sought-after manufacturing destination globally. This accomplishment reflects the increasing interest of manufacturers in India over other countries, setting the stage for sustained success.
Read On: India Economic Growth: Top Sectors India Should Spend On for $5-Trillion Ascent.
Conclusion
A decade into its inception, the ‘Make in India‘ campaign stands tall as a transformative force that has reshaped the economic landscape of the nation. From nurturing the triumph of indigenous brands to reshaping consumer preferences and contributing to economic development, the initiative has etched a lasting imprint on India’s economy landscape. As India continues on its journey towards economic prosperity, the ‘Make in India‘ initiative remains a shining example of successful economic policymaking and strategic vision. It portends a future marked by sustained growth, innovation, and global acclaim.
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