Industry - Modi Govt. Economic Policy and Programmes - BJP Election Manifesto

BJP Manifesto : Lok Sabha Elections 2014

Industry - Modern, Competitive and Caring

We should no longer remain a market for the global industry. Rather, we should become a Global Manufacturing Hub. We have to encourage our industry to innovate and collaborate internationally. We have to encourage industry to produce efficiently and cost-effectively.
Economic freedom implies that Government will not get in the way of the freedom of individuals to start and operate legitimate businesses. Increased economic freedom will break open the economic space to new entrants, especially in the form of small and medium-enterprises, creating jobs and prosperity. Particularly:
- We will ensure that a conducive, enabling environment is created making 'doing business' in
India easy.
- We will focus on cutting the red tape, simplifying the procedures and removing the bottle- necks.
- We will ensure logistics infrastructure, including stable power.
- Our attempt will be to move towards a single-window system of clearances both at the centre and also at the State level through a Hub-spoke model.
- We will put in place a mechanism that will ensure that the Central and state governments work in close coordination and synergy while giving clearances to mega projects.
- Decision-making on environment clearances will be made transparent as well as time-bound.
- We will set up World class Investment and Industrial regions as Global Hubs of Manufacturing.
- We will set up a task force to review and revive our MSME sector (Micro and Small Medium scale
Enterprises); enabling it with better access to formal credit and technology for modernization.
- Frame the environment laws in a manner that provides no scope for confusion and will lead to speedy clearance of proposals without delay.

Manufacturing

A strong manufacturing sector will not only bridge the demand-supply gap leading to price stabilization, but also create millions of jobs and increase incomes for the working class. Above all, it will increase the revenue for government and lead to import substitution to bring down the import bill. We will make India a hub for cost-competitive labour-intensive mass manufacturing. To give boost to manufacturing, BJP will:
- Accord high priority to the growth of manufacturing, so that we can create enough jobs in the country. This sector must grow fast to ensure employment and asset creation.
- Take steps for Interest rate rationalization and have a clear tax policy to remove uncertainty and create investor confidence.
- Take all steps; like removing red-tapism involved in approvals, to make it easy to do business, invest in logistics infrastructure, ensure power supply and undertake labour reforms, besides other steps to create a conducive environment for investors.
- Increase the public spending on R&D and Incentivize R&D investments by the industry to increase the competitiveness of the manufacturing sector.
- We will facilitate setting up of software and hardware manufacturing units.
- Encourage Indian companies to go global and we will support Indian companies in this endeavor.
We believe that Indian entrepreneurs have the capability to take on global markets.
- Set up trade facilitation to ensure easier customs clearances and visas for business travel.
- Initiate a Government - Industry Dialogue, a channel for regular interface with the industry.

MSMEs (Micro, small and medium enterprises)

BJP considers that the role of SME sector is crucial for the economic development of our country. The sector needs to be developed by providing international linkages for exports, availability of credit through a dedicated SME bank, supply chain efficiencies, adoption of IT, support in R&D and innovation, and a policy support for enhancing the mandate to purchase from SME for large scale projects. Overall goal is to enhance the competitiveness of the SME sector leading to a larger contribution to our economic growth and employment generation.

Cooperative Sector

Every effort will be made to encourage the cooperative sector. BJP commits to review the existing laws with regards to the cooperative sector, and will amend the multi-state cooperative act to remove lacunae and anomalies.

Industry - Manifesto Points and Actions Taken by Government

Industry - Modi Govt. Economic Policy and Programmes

Industry - Modern, Competitive and Caring

We should no longer remain a market for the global industry. Rather, we should become a Global Manufacturing Hub. We have to encourage our industry to innovate and collaborate internationally.

Action:  Make in India launched

We have to encourage industry to produce efficiently and cost-effectively.

Action:  PM exhorted industry in this regard in his various speeches. He said Zero Defects - Zero Effect.


Economic freedom implies that Government will not get in the way of the freedom of individuals to start and operate legitimate businesses. Increased economic freedom will break open the economic space to new entrants, especially in the form of small and medium-enterprises, creating jobs and prosperity. Particularly:

- We will ensure that a conducive, enabling environment is created making 'doing business' in
India easy.
Action: Actions are being taken to simplify 'Doing Business in India'.  Key steps taken in this regard include State-level business reform action plan, single-page application form for incorporation of a company, bankruptcy code. India's rank has improved from 142nd in 2014 to 130 in 2015 in Doing Business Report by World Bank Group. A recent report says India is number 1 in the region.



- We will focus on cutting the red tape, simplifying the procedures and removing the bottle- necks.

- We will ensure logistics infrastructure, including stable power.
Action - Roads, Railway and Shipping being improved.

- Our attempt will be to move towards a single-window system of clearances both at the centre and also at the State level through a Hub-spoke model.

Action: Initiated.   Single window in a Hub-Spoke model is being made a reality. Various Ministries are facilitating single window clearance for wide variety of services. Eg, Applications for Industrial License, customs clearance, permissions for housing related projects,  etc.

- We will put in place a mechanism that will ensure that the Central and state governments work in close coordination and synergy while giving clearances to mega projects.
Central investor meets where states are participating.


- Decision-making on environment clearances will be made transparent as well as time-bound.

- We will set up World class Investment and Industrial regions as Global Hubs of Manufacturing.
Action: Dehi Mumbai Industrial Corridor.

Action:  Under the National Manufacturing Policy, the government is working to build 8 NIMZs (National Investments and Manufacturing Zones) along the DMIC, and 14 NIMZs in others regions and industrial corridors.

- We will set up a task force to review and revive our MSME sector (Micro and Small Medium scale
Enterprises); enabling it with better access to formal credit and technology for modernization.

Action:  The KV Kamath Committee was set up on Sept 7, 2014 to examine the financial architecture for MSME sector. The Committee submitted its report in February, 2015. A one-page Udhyog Aadhar Memorandum (UAM) has been notified, replacing the cumbersome filing of Entrepreneurs Memorandum, to ease registration of MSME units.

MSME policy will be announced shortly. Startup movement started.

- Frame the environment laws in a manner that provides no scope for confusion and will lead to speedy clearance of proposals without delay.

Manufacturing

A strong manufacturing sector will not only bridge the demand-supply gap leading to price stabilization, but also create millions of jobs and increase incomes for the working class. Above all, it will increase the revenue for government and lead to import substitution to bring down the import bill. We will make India a hub for cost-competitive labour-intensive mass manufacturing.


Action: Make in India launched.

To give boost to manufacturing, BJP will:
- Accord high priority to the growth of manufacturing, so that we can create enough jobs in the country. This sector must grow fast to ensure employment and asset creation.

- Take steps for Interest rate rationalization and have a clear tax policy to remove uncertainty and create investor confidence.

- Take all steps; like removing red-tapism involved in approvals, to make it easy to do business, invest in logistics infrastructure, ensure power supply and undertake labour reforms, besides other steps to create a conducive environment for investors.

- Increase the public spending on R&D and Incentivize R&D investments by the industry to increase the competitiveness of the manufacturing sector.

- We will facilitate setting up of software and hardware manufacturing units.

- Encourage Indian companies to go global and we will support Indian companies in this endeavor.
We believe that Indian entrepreneurs have the capability to take on global markets.

- Set up trade facilitation to ensure easier customs clearances and visas for business travel.
- Initiate a Government - Industry Dialogue, a channel for regular interface with the industry.

MSMEs (Micro, small and medium enterprises)

BJP considers that the role of SME sector is crucial for the economic development of our country. The sector needs to be developed by providing international linkages for exports, availability of credit through a dedicated SME bank, supply chain efficiencies, adoption of IT, support in R&D and innovation, and a policy support for enhancing the mandate to purchase from SME for large scale projects.

Overall goal is to enhance the competitiveness of the SME sector leading to a larger contribution to our economic growth and employment generation.

Cooperative Sector

Every effort will be made to encourage the cooperative sector.

BJP commits to review the existing laws with regards to the cooperative sector, and will amend the multi-state cooperative act to remove lacunae and anomalies.