Government to promote manufacturing of some products to boost market share

The government of Indian is planning to promote the manufacturing of selected products, especially in areas where China enjoys a big share in the global market, as part of efforts to reduce imports and push exports. Government aims to attract foreign investments in pre-identified areas, promote joint ventures and support local businesses to expand India’s share of global markets.

Daily Current Affairs Quiz 2020

Key-Points

There is an opportunity for India in sectors where China enjoys a big share in the global market.

In the last few months, the government has announced production-linked incentives for manufacturing of electronics, medical devices and pharmaceutical products while putting restrictions on imports of Chinese products.

Ministry of Defence preparing a list of 101 items for which there would be an embargo on their import.

Almost 260 schemes of such items were contracted by the Tri-Services at an approximate cost of ₹3.5 lakh crore between April 2015 and August 2020.

With latest embargo on import of 101 items, it is estimated that contracts worth almost ₹four lakh crore will be placed upon the domestic industry within the next five to seven years.

Of these, items worth almost ₹1,30,000 crore each are anticipated for the Army and the Air Force while items worth almost ₹1,40,000 crore are anticipated by the Navy over the same period.

This is a big step towards self-reliance in defence. It also offers a great opportunity to the Indian defence industry to rise to the occasion to manufacture the items in the negative list by using their own design and development capabilities or adopting the technologies designed and developed by Defence Research and Development Organisation (DRDO) to meet the requirements of the Armed Forces in the coming year.