Industrial Policy Current Affairs
The Department of Industrial Policy and Promotion (DIPP) under the Commerce and Industry Ministry is going to release a new industrial policy by October 2017. It is expected to replace National Manufacturing Policy (NMP) released in 2011
The new policy aims at making India a manufacturing hub by promoting ‘Make in India’ with focus on encouraging Indian branded products with higher value addition. It will also review the existing foreign direct investment (FDI) policy regime to facilitate greater technology transfer.
Features of New policy
The proposed policy will aim to set clear vision for role of industry and industrial growth in growth and development of economy. It will be comprehensive, actionable, outcome-oriented policy that will enable industry to deliver a larger role in economy and fulfil its role as engine of growth and add more value and jobs.
DIPP has adopted consultative approach for formulating industrial policy by setting up six thematic focus groups. These six thematic areas are Manufacturing and MSME, Technology and Innovation, Infrastructure, Investment, Trade and Fiscal Policy, Ease of Doing Business and Skills and Employability for Future.
The policy will aim to attract $100 billion of FDI in a year, up from $60 billion in 2016-17. It will also aim at retaining investments and accessing technology. It will also ensure that it facilitates greater technology transfer, leverages strategic linkages and innovation.
It will incorporate measures to facilitate use of smart technologies such as the internet of things (IoT), artificial intelligence (AI) and robotics for advanced manufacturing. A task force constituted on artificial intelligence under the chairmanship of V. Kamakoti will also provide inputs for the policy
The policy will aim to harness existing strengths in sectors like automobiles and auto-components, electronics, new and renewable energy, banking, software and tourism, and create globally scaled-up and commercially viable sectors such as waste management, medical devices, renewable energy, green technologies, financial services to achieve competitiveness.
The policy will also push for reforms to enhance labour market flexibility with an aim for higher job creation in the formal sector and performance linked tax incentives. It will also take into consideration changing economic and business cycles of world and Indian economy, geopolitical trends and broad policy directions in country.
Odisha cabinet approved the much awaited Industrial Policy Resolution (IPR) 2015 after several rounds of consultation with different administrative departments and industry associations.
The IPR 2015 lays focus on various sectors for the next five years which includes infrastructure development, auto & auto components, agro and food processing, IT and ESDM (electronic system design & manufacturing), tourism, civil aviation, manufacturing, pharma sector, handicrafts and textiles and petroleum & petro chemicals.
State Cabinet further cleared the State Capital Region Improvement of Power System (SCRIPS) scheme and 650.64 km ambitious Biju Expressway.
About SCRIPS Scheme:
- SCRIPS is a scheme with an outlay of Rs 1,500 crore that aims to avail quality and uninterrupted power to the consumers in the twin cities of Bhubaneswar and Cuttack.
- This scheme will be implemented entirely out of state’s own finances from 2015-16 to 2019-20, which would have different components like underground cabling of important lines, smart grid and SCADA (supervisory control and data acquisition).
- Its objective is to provide 24×7 power supply to all classes of consumers in the geographical areas covered under the Comprehensive Development Plan (CDP) of Bhubaneswar and Cuttack.
Biju Expressway Project:
- It is an ambitious 650.64 km four-lane economic corridor stretching from Rourkela to Jagdalpur (Chhattisgarh) that aims to upgrade road connectivity in Naxal infested regions.
- The project got Central government nod and accordingly out of 650.64 km the state government would develop 307.44 km of roads into four-lane at an estimated cost of Rs 3,630 crore.
- The National Highways Authority of India (NHAI) would develop 183.2 km while the 160 km Sambalpur-Rourkela will be widened to four-lane standard on the PPP mode.
State government also approved 25 per cent subsidy on capital investment exceeding Rs. 200 crore and generating employment over 500 in order to promote investments in the emerging ESDM (electronics system design and manufacturing) space.
State cabinet also decided to change the names of the IT department as the department of electronics and IT and the department of employment, technical education & to as the department of skill development and technical education.