In a bid to chalk out the second leg of the signature ‘Make in India’ programme Prime Minister Narendra Modi will hold a meeting of several stakeholders on December 29 where he would come with a ‘specific action plan’ that would help boost manufacturing.
Finance minister Arun Jaitley and commerce and industry minister Nirmala Sitharaman would also address the stakeholders.
During the meeting discussions will take place with the sectoral industry leaders concerned.
The meeting is crucial as it would lay down a roadmap for the implementation of the appropriate measures to make the programme most effective.
“Senior industry leaders would also participate in the meet, organised by the commerce and industry ministry. Chief secretaries and other senior officials of states would also attend ,“ a senior official said.
It was in September that Modi launched the ‘Make in India’ campaign to attract foreign investors and make the country a global manufacturing hub. As many as 25 sectors, including textiles, automobiles, chemicals, IT and pharmaceuticals, have been identified as focus segments under the programme.
The manufacturing sector now contributes about 16-17% and the government aims to increase it to 25% by 2022.
The meeting comes at a time when hopes of recovery are dismal as industrial production contracted by 4.2% in October, the sharpest in at least two years, on poor showing by the manufacturing sector and a dip in the output of capital as well as consumer goods.
Manufacturing output, which constitutes over 75% of the index, contracted by 7.6% in October, compared to 1.3% decline in the same month a year ago.
For April-October, the sector saw an output growth of 0.7%, compared to a contraction 0.1% in the year-ago period. Overall, 16 of the 22 industry groups in manufacturing showed negative growth in October.