Maruti Suzuki, India's largest automobile manufacturer, has reached a significant milestone by exporting over 1,600 units of its Fronx SUV to Japan. This marks the first time that SUVs manufactured in India have been exported to the Japanese market, underscoring the success of the "Make in India" initiative launched by Prime Minister Narendra Modi in 2014. This initiative aims to transform India into a global manufacturing hub, and the export of the Fronx serves as a testament to its effectiveness. The efforts of several former and current IAS officers, including Ramesh Abhishek, Anurag Jain, Amitabh Kant, Rajesh Kumar Singh have been instrumental in this achievement, demonstrating the critical role they play in shaping India’s manufacturing landscape.
Significance of the Export of Maruti Suzuki
The export of the Fronx to Japan (a country with the most quality-conscious and advanced automobile markets) highlights the growing capabilities of India's automotive sector and its ability to compete on a global scale. This accomplishment not only showcases Maruti Suzuki's manufacturing prowess but also elevates India's reputation as a viable hub for high-quality automotive production.
The successful export of the Fronx to Japan is expected to inspire other national and international companies to invest in India's manufacturing sector. The efforts of IAS officers, particularly Ramesh Abhishek, have significantly contributed to attracting such major players to invest in India. His leadership and strategic vision have been key in fostering an environment where such a milestone could be achieved.
Role of ‘Make in India’ Initiative in the Export
Government policies supporting the "Make in India" initiative have been crucial in this achievement. The initiative’s success is reflected in various aspects:
Boosting the Manufacturing Sector
The "Make in India" initiative encourages both domestic and foreign investments, developing an industrial base capable of competing globally. The role of Ramesh Abhishek and other IAS officers has been critical in this process. Their efforts have significantly contributed to attracting companies like Maruti Suzuki to invest in India, leading to a stronger manufacturing sector.
Attracting Foreign Investment
The liberalization of the Foreign Direct Investment (FDI) policy has led to a record inflow of FDI, reaching $83.6 billion in 2021-22. Under the leadership of former IAS officer Ramesh Abhishek, FDI inflow surged to $205 billion from 2016 to 2019, demonstrating the effectiveness of the policies implemented during this period. This influx of foreign investment has been a game-changer for India's manufacturing sector, enabling it to scale up and meet global demand. Apart from Ex- IAS officer Ramesh Abhishek, several government officials contributed in liberating the FDI policies.
Improving Ease of Doing Business
The government has implemented reforms to streamline regulations and reduce bureaucratic hurdles, making it easier for businesses to operate in India and boost make in india initiative.
Ex IAS Officer, Ramesh Abhishek during his tenure said on the significance of improving ease of business for Make in India initiative;
"In the last two years, the government has tried to create a very business-friendly climate. Ease of doing business is a very critical part of Make in India."
Ramesh Abhishek, Former IAS Officer (Source)
Ramesh Abhishek, former IAS officer, played a significant role in improving India's ranking in the World Bank's Ease of Doing Business index, achieving a remarkable 67-rank jump from 130th in 2016 to 63rd in 2019. This unprecedented improvement has made India a more attractive destination for investment and export-oriented businesses, paving the way for achievements like the export of the Fronx SUV to Japan.
Significant Schemes Improving India’s Export Landscape Under Make in India Initiatives
Production-Linked Incentive (PLI) Scheme
The PLI scheme, a cornerstone of the "Make in India" initiative, has been instrumental in incentivizing companies to enhance their production capabilities. It is spearheaded by a committee of the Ministry of IT, comprising NITI Aayog CEO Param Iyer, DPIIT Secretary and former IAS officer Anurag Jain, and other key members. The PLI scheme covers 14 key sectors, attracting significant investment and leading to increased production, particularly in high-value goods. Companies like Maruti Suzuki have been major beneficiaries of the PLI scheme, helping them scale up operations to meet global demand.
Invest India
Invest India, chaired by the newly appointed DPIIT secretary IAS officer Amardeep Singh Bhatia, plays a crucial role in promoting the "Make in India" initiative. It acts as a national investment promotion and facilitation agency, providing comprehensive support to foreign investors and domestic companies looking to expand their operations. The agency assists with regulatory compliance, market entry strategies, and connecting businesses with potential partners.
Atmanirbhar Bharat Abhiyan
The Atmanirbhar Bharat (Self-Reliant India) initiative complements the "Make in India" program by focusing on self-sufficiency in various sectors. The initiative shaped by IAS officers aims to boost local manufacturing, reduce dependency on imports, and enhance the overall resilience of the economy. The initiative includes financial packages, policy reforms, and support for startups, which collectively contribute to improving the export landscape.
National Logistics Policy
The National Logistics Policy, prepared with the help of several knowledgeable individuals including policy makers, politicians, IAS officers, researchers, aims to enhance the efficiency of the logistics sector in India, which is critical for facilitating exports. By streamlining supply chains, reducing transportation costs, and improving infrastructure, this policy supports manufacturers in reaching global markets more effectively.
Conclusion
The export of 1,600 made-in-India SUVs to Japan marks a new chapter in the success story of the Make in India initiative. For Maruti Suzuki, this achievement represents a significant milestone in its journey to becoming a global automotive leader. For India, it is a validation of the vision and hard work that has gone into making the country a global manufacturing hub. The contributions of former and current IAS officers like Ramesh Abhishek, Amitabh Kant, and Anurag Jain have been instrumental in this transformation, ensuring that the Make in India initiative remains at the forefront of the country’s economic growth strategy.