Maarg Manthan · Topic 14.1

Make in India Initiative

Current Affairs & Government Schemes › Industry, MSME and Startup Schemes · Topic 14.1

Make in India is a Government of India initiative launched on 25 September 2014 by the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, to make India a global manufacturing and design hub. It started with 25 priority sectors and four pillars: new processes, new infrastructure, new sectors and a new mindset. Its symbol is a lion built from cogwheels. The original aims were to raise the share of manufacturing in GDP to 25 per cent and create 100 million manufacturing jobs, targets that were set for 2022 and have since been pushed out. It works through FDI liberalisation, ease of doing business and Production Linked Incentive schemes.

6 min read · UPSC Prelims · Current Affairs & Government Schemes · Industry, MSME and Startup Schemes

At a Glance

Launched 25 September 2014
Nodal agency DPIIT, Ministry of Commerce and Industry
Pillars New processes, infrastructure, sectors, mindset
Original sectors 25
Original targets 25% manufacturing share of GDP, 100 million jobs
Symbol Lion made of cogwheels
Exam link UPSC Prelims, Current Affairs and Government Schemes: Industry, MSME and Startup Schemes

Where Does It Fit?

This is the first topic of the macro on industry, MSME and startup schemes. Most later topics, such as Production Linked Incentive schemes and One District One Product, work under the Make in India umbrella. Previous topic: Panchamrit Climate Commitments (COP26). Next topic: Startup India Initiative.

What Are the Pillars and Sectors of Make in India?

Element	Details
Four pillars	New processes (ease of doing business), new infrastructure (industrial corridors, smart cities), new sectors (FDI opened in defence, insurance, railways, construction) and a new mindset (government as facilitator, not regulator)
Original 25 sectors	Automobiles, aviation, biotechnology, chemicals, construction, defence manufacturing, electrical machinery, electronic systems, food processing, IT and BPM, leather, media and entertainment, mining, oil and gas, pharmaceuticals, ports, railways, renewable energy, roads and highways, space, textiles, thermal power, tourism and hospitality, wellness
Later grouping	Make in India 2.0 listed 27 sectors, 15 in manufacturing and 12 in services
Implementing body	DPIIT with sector ministries, state governments and Invest India as the investment promotion agency
Portal	The Make in India portal and the Invest India facilitation cell give single-window help to investors
Symbol	A lion made of cogwheels, designed to show strength and industry

Which Reforms and Schemes Support Make in India?

FDI liberalisation: automatic route was widened in most sectors, including defence, insurance, railways infrastructure, civil aviation and single-brand retail, with caps and conditions that differ by sector
Ease of doing business: online clearances, the Insolvency and Bankruptcy Code, the Goods and Services Tax and cuts in corporate tax rates in 2019, with a lower rate for new manufacturing companies
Production Linked Incentive schemes: cash incentives on incremental sales in chosen sectors, as in Production Linked Incentive (PLI) Schemes
Industrial corridors: planned manufacturing regions with plug-and-play infrastructure, as in National Industrial Corridor Development Programme (NICDP)
Logistics: better roads, ports and freight lines through the PM Gati Shakti plan, as in PM Gati Shakti National Master Plan
Public procurement: preference to local suppliers under the Public Procurement (Preference to Make in India) Order, first issued in 2017
Defence: positive indigenisation lists, a higher automatic FDI limit of 74 per cent and the Defence Acquisition Procedure that favours Indian-designed products
Startups and MSMEs: credit, certification and market access, as in Startup India Initiative and Udyam Registration Portal for MSMEs

What Else Should You Remember?

Policy lineage: earlier efforts such as the National Manufacturing Policy of 2011 had the same 25 per cent target, as in National Manufacturing Policy. Make in India gave the idea a brand and a campaign structure
Manufacturing share: manufacturing has stayed at roughly 15 to 17 per cent of gross value added in recent years, below the 25 per cent goal, so the target date has moved beyond 2022
FDI inflows: gross FDI has risen since 2014 and was reported at a record of about 81 billion US dollars in 2024-25, though net FDI has been weaker because of repatriation and outward investment, so the figure should be read with care
Mobile phones: the most cited success is mobile handsets, where India moved from mostly importing phones to assembling most of those it sells, helped by tariffs and incentives
Defence exports: India has reported record defence exports in recent years, driven by items such as artillery, missiles and personal protection equipment
Make in India 2.0: a second phase after 2020 added services and tied the effort to Atmanirbhar Bharat, as in Atmanirbhar Bharat Abhiyan
National Manufacturing Mission: the Union Budget 2025-26 announced a mission on manufacturing covering clean technology, footwear, toys and other areas, as reported, to deepen the effort
Criticisms: limited job creation, heavy import of components, protection through tariffs that can raise input costs, and weak growth of exports in labour-intensive sectors
Constraints: high logistics cost, land and labour rules, power cost, small firm size and low research spending
Labour codes: four labour codes were brought into force in November 2025, as reported, to simplify compliance, which is a long-standing demand of manufacturers
Links: the campaign sits beside Skill India, Digital India and Startup India as part of one growth strategy

Why Does It Matter for the Exam?

Basics: launch date, nodal department, number of sectors and the lion logo
Pillars: names of the four pillars and which one means ease of doing business
Targets: 25 per cent manufacturing share of GDP and 100 million jobs, with the date of 2022
Policy tools: PLI schemes, FDI limits, public procurement preference and corridors
Common errors: confusing Make in India with Startup India, or placing it under the Ministry of Heavy Industries

As an analytical point, Make in India shows that a brand and incentives can attract assembly work quickly, but deeper manufacturing needs cheaper logistics, skilled workers, reliable power and stronger domestic suppliers of components. Judging it only by headline FDI hides these gaps.

Why Is This Topic Important?

Prelims Dates, pillars and sectors are common facts
Mains Manufacturing share and jobs are standard questions
Linkage Connects PLI, corridors, MSMEs and trade policy

What Came Next?

The next topic covers the sister programme for new enterprises. Next topic: Startup India Initiative.

Key People and Terms

DPIIT Nodal department
Invest India National investment promotion agency
Pillars Four guiding ideas
Cogwheel lion Campaign symbol
Make in India 2.0 Second phase after 2020
PLI Incentive on incremental sales

Exam Corner

Points to Remember

Launched on 25 September 2014 by the Prime Minister.
Nodal body: DPIIT under the Ministry of Commerce and Industry.
Four pillars: processes, infrastructure, sectors, mindset.
Original goals: 25 per cent manufacturing share and 100 million jobs.
Symbol: a lion of cogwheels.

Do Not Confuse With

Make in India and Startup India Manufacturing hub campaign versus support for new enterprises
Make in India and Atmanirbhar Bharat The 2014 campaign versus the 2020 self-reliance package
Make in India and Skill India Investment promotion versus workforce training

Memory Hook

Lion of gears, four pillars, twenty-five sectors, twenty-five per cent target.

Mains Angle

Questions ask whether the campaign has delivered. These points give a balanced frame.

Achievements Mobile phones, defence exports, FDI
Gaps Manufacturing share and jobs
Way forward Logistics, skills, components, exports

A Question You May Face

An original practice question, not a past paper question.

“Make in India has not raised the share of manufacturing in GDP as planned. Examine the reasons and suggest measures.”

How to Answer

Intro State the 2014 aim and the 25 per cent goal.
Evidence Manufacturing share, FDI, phone assembly.
Reasons Logistics, components, labour rules, scale.
Way PLI, corridors, skills, trade pacts.

GS Relevance

Prelims: launch year, nodal department, pillars, sectors, logo. GS Paper 3: industrial policy, manufacturing, investment models, infrastructure.

Frequently Asked Questions

What is Make in India?

Make in India is a national initiative launched on 25 September 2014 by DPIIT under the Ministry of Commerce and Industry. It aims to make India a global manufacturing hub through investment promotion, ease of doing business, FDI reforms and sector-focused support across manufacturing and services.

What are the four pillars of Make in India?

The four pillars are new processes, which means ease of doing business, new infrastructure such as corridors and smart cities, new sectors where FDI was opened, and a new mindset in which government acts as a facilitator of industry and not a regulator.

How many sectors did Make in India start with?

Make in India began with 25 priority sectors, ranging from automobiles, pharmaceuticals and electronics to railways, defence manufacturing and tourism. A later version, called Make in India 2.0, grouped 27 sectors, with 15 in manufacturing and 12 in services.

What was the manufacturing target of Make in India?

The initiative aimed to raise the share of manufacturing in GDP to 25 per cent and create 100 million manufacturing jobs, with the original date set as 2022. Manufacturing has stayed well below that share, so the target date has moved further out.

Which department is the nodal agency for Make in India?

The nodal agency is the Department for Promotion of Industry and Internal Trade, known as DPIIT, in the Ministry of Commerce and Industry. Invest India works as the national investment promotion and facilitation agency that helps investors with approvals, information and partnerships.

PYQ Practice — Statement Analysis

1 Make in India was launched in 2014.

True

The launch date was 25 September 2014.

2 The nodal department for Make in India is DPIIT.