With all-time high FDI inflow, India’s Ease of Doing Business is continuously changing its rank towards an upward direction. Our growth curve was static few years back but it is on a rapid pace now. The Make in India Scheme, announced by the Prime Minister, on 25th September 2014, is benefiting Indian economy from various ends. It has currently started three workshops which are very important for our manufacturing sector. Related to Economics of Localization & Sourcing in India, Location Assessment & Investment Zone Options, and Logistics & Supply Chain Challenges in India, these workshops are especially helpful for the foreign companies who are expecting to start their ventures in India. This scheme has simplified the chance of getting business loans from banks and non-banking lenders. It has removed some of the restrictions and odd regulations.
Major elements of Make in India
1. Market assessment
2. Land allotment and location analysis
3. Emerging market entry financing
4. Technical feasibility, transparency on tax legalities
5. Communication with government authorities and industry stakeholders
6. Human resource identification and recruitment
Make in India Mittelstand (MIIM)
By supporting the German SMEs, the Make in India Scheme has opened an excellent gateway for Mittelstand Companies (German small and medium enterprises) to enter in India. Here we have a list of MIIM Companies which have started their manufacturing business in India. Make in India Mittelstand (MIIM) is actually designed to work for 72 German SMEs. These SMEs in invest €650 million jointly. However, the number of jobs expected to create by this approach is four thousand. Coming to the examples, the Senvion Company has started its operation in Gujarat and Maharashtra. It basically deals with Greenfield and Brownfield energy. This team has also assisted the Verbio Group which is a German-based manufacturer and supplier of bio-fuels to establish its manufacturing in India. Besides, Kenersys (wind turbine manufacturer), Wiesner Steuerungstechnik GmbH (manufacturer of production and test equipment) and some other German Companies have successfully made a foray into India.
The major players of MIIM
3. Glass manufacturers
4. Machine tools
5. Building material
6. Construction technology
7. Fuel cells
9. Solid and waste water management solutions providers
10. Renewable energy
11. Small electrical goods
12. Large electrical goods
13. Automotive components
14. Security and surveillance
18. Logistics and supply chain
The twenty-five identified areas of Make in India are Chemicals, Biotechnology, Food Processing, Mining, Railways, Renewable Energy, Space, Textiles, Automobiles, Aviation, Construction, Oil and Gas, Pharmaceuticals, Tourism & Hospitality, Wellness, Defence Manufacturing, Media and Entertainment, Auto Components, Electrical Machinery, Electronic System Design and Manufacturing, Information Technology, Leather, Ports, Transportation, and Thermal Power. An immense rise in the FDI rating is equally inviting MSME sector in India to invest more. Yes, Indian Companies are also taking their interests in founding manufacturing plants under this highly beneficial scheme. India’s Ease of Doing Business has improved a lot, FDI inflow increased. As per the survey made by The Financial Times, India has emerged as the number one FDI destination in the world. To boost the Make in India Scheme, the newly elected Chief Minister of UP has started Make in UP Scheme.