At a time when the world is looking for a reliable partner for high quality products with a dependable supply chain, the Indian industry must find a role for itself and carve out opportunities, and not remain a mere “spectator”, Prime Minister Narendra Modi said Tuesday. Addressing a post-Budget webinar, Modi assured the industry of the government’s support, saying that it stands “shoulder to shoulder” with them at a time when the world is viewing India as a key growth centre.
- “Today the world needs a reliable partner from where high quality products come out and the supply is reliable. Our country is capable of doing this. All of you are capable. This is a huge opportunity for us. I want our industry not to see these expectations as a spectator, we cannot remain spectators. You have to find your role in this, you have to move ahead and carve out opportunities for yourself,” the Prime Minister said.
“It is much easier today than it was earlier. Today the country has friendly policies to take advantage of these opportunities. Today the government stands shoulder to shoulder with the industry,” Modi said, adding that if the industry scouts for opportunities in the global supply chain with a strong resolve and objectivity, accepts the challenge, and moves forward one step at a time, India can go many miles ahead.
The Prime Minister assured the country’s manufacturing and export sectors that the government will continue on the path of reforms and consistency, which over the past 10 years has “brought new confidence in our industry”.
“In the last 10 years, India has shown its commitment towards reforms, financial discipline, transparency and inclusive growth…I assure every stakeholder associated with manufacturing and export that this continuity will remain the same in the coming years. With all my faith, I urge you to move ahead with full confidence and take big steps. We should open new avenues for manufacturing and export,” Modi said, as he listed various steps taken by the government towards having a stable policy and business environment in India.
The Prime Minister reiterated that the government is working further in that direction, and referred to the Budget announcement of the formation of a committee to review regulations in the non-financial sector with the aim of making them “modern, flexible, people-friendly and trust-based”. Modi called upon the industry to play its part in the process by identifying problems from its experience and suggesting ways to further simplify regulations and processes.
According to Modi, India’s experience so far with Production-Linked Incentive (PLI) schemes across various sectors shows that Indian entrepreneurs can march ahead even in new manufacturing and export segments, if they get the opportunity. The Prime Minister said that the government has now decided to start two missions to promote manufacturing and export, and is focussed on “better technology and quality products”.
The Prime Minister listed research and development (R&D) as a focus area that has an important contribution in India’s manufacturing journey, underscoring the need for R&D efforts to be further accelerated, particularly in traditional craft segments with high export potential.
“Through R&D, we can focus on innovative products and add value to the products. The world knows the potential of our toy, footwear, and leather industries. We can achieve great success by combining modern technologies with our traditional crafts. We can become global champions in these sectors and our exports can increase manifold. This will create lakhs of employment opportunities in these labour-intensive sectors and promote entrepreneurship,” he said.
Talking about micro, small, and medium enterprises (MSME) sector, Modi said that it has been the “backbone of India’s manufacturing and industrial growth”, and emphasised the need to develop new modes of credit delivery to support the sector’s growth.
“Now we have to develop new modes for credit delivery. Our endeavour should be to ensure that every MSME has access to low cost and timely credit…First-time entrepreneurs not only need credit support, but they also need guidance. I believe that the industry should create a mentorship programme to help such people,” the Prime Minister said, while listing various measures undertaken by the government over the years for easy credit access for MSMEs, apart from other steps to give a boost to the sector.
Modi also nudged states to “promote ease of doing business” in order to attract investors.
“The role of states is very important in increasing investment. State government officials are also present in this webinar…There should be competition among the states as to who can take maximum advantage of this Budget. Companies will come to invest in the states that come forward with progressive policies,” the Prime Minister said.
