Sustaining the Economic Growth: What to Expect of India's Industry Budget?
Manufacturing the Future – Kickstarting the Industry
The government has recognized that innovation and competitiveness, make outsized contributions to research and development, exports, and productivity growth and therefore came out with the manufacturing policy. India’s national manufacturing policy adopted in November 2011 calls for setting up national manufacturing zones for creating 100 million jobs, and raising manufacturing contribution to GDP from today’s 16 to 25 per cent by 2022 some measures.
Encouraging Innovation in Processing and Energy
However, the government has to go beyond the policy pronouncement and it is time for it to walk the talk. It has to put in place measures that support innovation in industrial companies and encourage them to take the path of sustainable manufacturing.
There is a growing recognition that the days of manufacturing, which assumes abundant supply of raw material and energy, are over and it should give place to sustainable manufacturing. Sustainable manufacturing recognizes that resources such as energy, minerals, water, and others are scarce and therefore realigns manufacturing strategies that seek a quantum jump in resource efficiency and productivity, supply chain efficiency, and waste reduction.
Commitment to Sustainability – India's Process Industry
Industrial companies must adopt sustainable manufacturing strategies and the Indian state must put in place policy initiatives, which encourage industrial companies to invest in developing emerging technologies and support them to adopt sustainability related standards, design, and manufacturing techniques and tools.