‘Make In India’ Achieves Record Milestones; Strengthens India’s Economic Future

A decade after its launch, the ‘Make in India’ initiative has emerged as one of the most transformative economic strategies in the country’s history. By August 2024, the programme has attracted a massive Rs 1.46 lakh crore in investments, generated a staggering Rs 12.50 lakh crore in production, and created 9.5 lakh new jobs.

Launched by Prime Minister Narendra Modi in 2014, ‘Make in India’ aimed to revitalize India’s manufacturing sector, foster local production, create employment, and bolster the nation’s position in the global economy. Fast forward to 2024, and the initiative’s impact is undeniable, with significant contributions to India’s export growth, foreign direct investment (FDI), and job creation.

FDI Surge And Record Exports: A Global Manufacturing Hub

Between April 2014 and March 2024, India attracted an impressive $667.41 billion in FDI, which constitutes nearly 67% of the total FDI received over the past 24 years. This influx of investment underscores India’s growing role as a global manufacturing hub, particularly in sectors such as electronics, pharmaceuticals, and food processing. Exports have seen a remarkable uptick, surpassing Rs 4 lakh crore, driven by these key sectors.

The domestic mobile phone production story illustrates the programme’s success. In 2014-15, India produced just 5.8 crore mobile units. By 2023-24, this number surged to 33 crore units, with imports dropping significantly and exports reaching five crore units. The mobile sector alone attracted a 254% increase in FDI, showcasing the initiative’s role in boosting both production and investment.

‘Make In India 2.0’: Revitalizing Manufacturing Across Sectors

With the launch of ‘Make in India 2.0,’ the initiative has refocused efforts on developing a robust manufacturing sector across 27 key categories. The electronics sector, especially, has seen a surge, with iPhone production in India reaching $10 billion in FY25 alone. Of that, $7 billion were from exports, setting a new record. The Apple ecosystem alone has generated over 175,000 new jobs, with more than 72% of these roles filled by women.

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India’s pharmaceuticals sector has also benefited from the Production-Linked Incentive (PLI) scheme, strengthening its position as the third-largest global player by volume. Half of India’s pharma production is now directed towards exports, while the PLI scheme has attracted over $8 billion (Rs 67,690 crore) in investment, far exceeding initial targets.

Telecom And Drone Sectors: Paving The Path For Technological Leadership

The telecom sector has seen remarkable progress under the PLI scheme, with a 60% import substitution achieved for telecom products. Global tech companies are increasingly setting up manufacturing units in India, positioning the country as a key exporter of 4G and 5G equipment. India’s focus on design-led manufacturing, announced in the Union Budget 2022-23, has paved the way for sustainable growth in the telecom space.

The drone sector has also experienced exponential growth, with turnover increasing seven-fold due to the PLI scheme, marking a leap in technological advancements and positioning India as a leader in the emerging drone industry.

The PM GatiShakti initiative has played a key role in modernizing India’s infrastructure. Over 208 major projects, worth more than $180 billion, are being assessed for development. Notably, 156 critical infrastructure gaps have been identified, particularly in last-mile connectivity for sectors like coal, steel, fertilizers, and food distribution. Morgan Stanley predicts these infrastructure investments will grow at a 15.3% compound annual growth rate (CAGR), reaching $1.45 trillion over the next five years.

The success of PM GatiShakti has garnered global attention, with countries such as Nepal, Bangladesh, Sri Lanka, and Senegal expressing interest in adopting elements of the initiative.

Defence Manufacturing: Strengthening India’s Self-Reliance

One of the standout achievements of the ‘Make in India’ initiative is in the defence sector, where India has reached a record high in defence production. In 2023-24, India’s defence production amounted to Rs 1.27 lakh crore, with exports to over 90 countries. The country has seen its defence exports grow by more than 30 times over the past decade.

A key milestone in this journey is the inauguration of India’s first private military aircraft facility in Vadodara, which will produce the Airbus C295 aircraft. This facility represents a significant leap in India’s aerospace industry and showcases the nation’s growing self-reliance in defence manufacturing. Currently, 65% of India’s defence equipment is produced domestically, supported by a robust network of 16 Defence Public Sector Units (DPSUs), 430 licensed companies, and over 16,000 Micro, Small, and Medium Enterprises (MSMEs). The private sector plays a crucial role, contributing 21% of this production.

Textile And Railways: Advancing Global Trade And Innovation

India’s textile sector has also seen remarkable progress, driven by the PLI scheme. Project investments of over Rs 28,000 crore and a turnover of over Rs 2 lakh crore expect to promote the production of man-made fibre apparel and technical textiles. India’s textile exports grew by 11.56% in 2024, with apparel exports rising by 35% in October alone, cementing the country’s position as the world’s second-largest producer of textiles and garments.

In the railways sector, the introduction of 136 Vande Bharat trains across the country marks a major achievement in the development of indigenously manufactured rail technology. Moreover, the Kavach system, designe to enhance train safety, deploye across 1,548 route kilometers, strengthening the nation’s commitment to world-class infrastructure.

As India celebrates the successes of the ‘Make in India’ initiative, the country is well on its way to becoming a global manufacturing powerhouse.