Judging the success of “Make in India” is multifaceted and hinges on your chosen measuring stick:
On paper:
- Investment: Foreign Direct Investment (FDI) saw a boom, momentarily making India the top global destination in 2015. Certain sectors like smartphone manufacturing witnessed massive growth.
- Business environment: India’s ranking in the World Bank’s Ease of Doing Business Index improved, indicating progress in streamlining processes.
However, challenges remain:
- Overall manufacturing growth: Despite initial enthusiasm, the manufacturing sector’s share of GDP hasn’t risen significantly, falling short of initial goals.
- Foreign assembly dominance: Critics argue that much of the growth comes from foreign companies setting up assembly lines, not true “Make in India” development.
- Persistent hurdles: Complex regulations, infrastructure issues, and skilled labor shortages continue to hinder progress.
- Policy inconsistency: Some argue that the initiative lacks a clear and consistent long-term vision, impacting its effectiveness.
Therefore:
- It has shown mixed results. Achievements in attracting investment, boosting specific sectors, and improving the business environment are present.
- However, it hasn’t yet achieved its broader goals of significantly increasing India’s manufacturing share and overall economic transformation.