Advantages Of Make In India

TAKING ADVANTAGE OF MAKE IN INDIA

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Shobha Edward,M.C.S.,M.Phil.,P.G.D.P.M.&L.L.,P.G.D.C.S.M.,D.L.T.,

Research Scholar in Corporate Secretaryship,

Alagappa University, Karaikudi.

Vice- Principal & Head of the Dept. of Corporate Secretaryship,

K.C.S.Kasi Nadar College of Arts & Science, Chennai- 600021.

Email: [e-mail]

Dr.V.Manickavasagam,M.Com.,M.B.A.,M.Phil.,M.Ed.,Ph.D.,P.G.D.C.A.,

Research Guide and Supervisor in Corporate Secretaryship,

Alagappa University, Karaikudi.

Registrar, Alagappa University, Karaikudi.

Email:[e-mail]

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In order to increase the contribution of the manufacturing sector to India's GDP, the concept of Make in India is being adopted.

India is a country rich in natural resources. Labour is aplenty and skilled labour is easily available given the high rates of unemployment among the educated class of the country. With Asia developing as the outsourcing hub of the world, India is soon becoming the preferred manufacturing destination of most investors across the globe. Make in India is the Indian government's effort to harness this demand to boost the Indian economy.

This will accommodate the 300 million people who will join India's workforce between 2010 and 2040, as 10 million jobs are needed every year. The thrust on the manufacturing sector will create about 100 million jobs by

Foreign investment will bring technical expertise and creative skills along with foreign capital. The concomitant credit rating upgrade will further woo investors.

5. FIIs play a dominant role relative to FDI in the Indian markets. However, FIIs are highly volatile in nature and a sudden exodus of hot money from India can effect a nosedive in the bellwether indices. Make in India will give an unprecedented boost to FDI flows, bringing India back to the global investment radar.

6. The urge to attract investors will actuate substantial policies towards improving the Ease of Doing Business in India. Ground breaking economic, political and social reforms, are to be taken to keep its house in order to market Brand India to the world at large.

Disadvantages of Make in India

1. From a theoretical perspective, Make in India will tend to violate the theory of comparative advantage. If it is not economically feasible to manufacture a commodity in India, it is best to import the same from a country which enjoys comparative advantage in its production. International trade is welfare augmenting.

2. India, unlike China, does not have the time advantage as it undertakes a manufacturing spree. The world should be ready for a second