Chapter-11 : Industry

Short Notes or Revision Notes 

GIST of India Year Book 2024

Department for Promotion of Industry and Internal Trade (DPIIT)

Established: 1995 (reconstituted in 2000)

Function: Oversees industrial development, e-commerce, internal trade, startup recognition.

Key Areas:

• Infrastructure and Logistics:
  • PM GatiShakti National Master Plan (2021): Integrates infrastructure planning for seamless connectivity using GIS technology.
  • National Logistics Policy (2022): Focuses on efficiency, regulatory frameworks, and technology adoption in logistics.
  • Logistics Ease Across Different States (LEADS): Index assessing state logistics ecosystems and identifying improvement areas.
  • Unified Logistics Interface Platform (ULIP): Simplifies logistics processes and reduces costs.
  • Project Monitoring Group (PMG): Merged with DPIIT in 2019 to fast-track large projects.
• Foreign Investment and Promotion:
  • Formulates FDI policies and simplifies approval processes.
  • Make in India (2014): Promotes investment, innovation, and infrastructure for global manufacturing and design hub.
  • Invest India: Joint venture facilitating investment and supporting investors throughout the lifecycle.
  • One District One Product (ODOP): Focuses on economic growth and entrepreneurship by identifying unique district potential.
  • Production Linked Incentive (PLI) Scheme: Offers incentives for 14 key sectors to boost manufacturing and global competitiveness.
  • India Industrial Land Bank: Provides a database of industrial areas with infrastructure and connectivity.
• Startup Ecosystem and Industrial Development:
  • Startup India (2016): Promotes entrepreneurship through simplification, funding, and industry-academia partnerships (over 99,000 startups recognized).
  • Intellectual Property Rights (IPR): Administers IPR laws and supports innovation through policies.
  • National Institute of Designs (NIDs): Premier design education and research institutes.
  • National Industrial Corridor Programme: Develops greenfield industrial smart cities to enhance industrial output, employment, and infrastructure.
  • Industrial Performance (April-July 2023): IIP grew by 4.8%, with positive growth in mining, manufacturing, and electricity sectors.
  • Eight Core Industries: All except crude oil recorded positive growth during 2022-23.
• Other Initiatives:
  • Ministry of Heavy Industries (MHI): Drives transformation in the automobile sector, promoting electric mobility.
  • Central Public Sector Enterprises (CPSEs): MHI administers 36 CPSEs playing a vital role in various sectors (BHEL, HMT, Cement Corporation of India).
  • Micro, Small and Medium Enterprises (MSMEs): A dynamic sector contributing significantly to GDP, exports, and employment (over 6 crore enterprises, 27% of GDP, 44% of exports, 11.10 crore employed).
  • MSME Samadhaan: Addresses delayed payments through MSMED Act provisions.
  • MSME-SAMBANDH and MSME SAMPARK platforms: Facilitate procurement and job opportunities.

Key Indian Industry Sectors

• Textiles:
  • Khadi and Village Industries Commission (KVIC) promotes Khadi production and rural employment.
  • Government schemes like IPDS, SITP, and PM MITRA support the textile industry, including technical textiles.
  • SAMARTH scheme focuses on skill development in the sector.
• Steel:
  • India’s steel sector is the world’s second largest, with a 5.5% production increase in 2022.
  • National Steel Policy 2017 aims for 300 MT capacity by 2030-31 and increased per capita consumption.
  • Production Linked Incentive (PLI) Scheme since 2021 drives specialty steel production.
• Fertilisers:
  • Fertilisers Department ensures timely, affordable fertilisers for agriculture.
  • New Urea Policy emphasizes energy-efficient production and rationalizes subsidies.
  • Neem coating of urea mandated to prevent illegal diversion.
• Chemicals and Petrochemicals:
  • Open to 100% FDI, this sector fosters innovation and global competitiveness.
• Pharmaceuticals:
  • India’s pharmaceutical industry is the world’s third largest.
  • National Pharmaceutical Pricing Policy focuses on affordability of essential medicines.

India’s Mineral Resources

Mineral Legislation and Reforms:

• Focuses on sustainable mining practices, transparency, and exploration.

Major Mineral Resources (in million tonnes):

• Bauxite: Total – 4,958 (Odisha – 41%, Chhattisgarh – 20%, Andhra Pradesh – 12%)
• Chromite: Total – 332 (Odisha – 96%)
• Copper: Total – 1,661 (Rajasthan – 52%, Madhya Pradesh – 23%, Jharkhand – 15%)
• Gold: Total – 544 (Bihar – 43%, Rajasthan – 24%, Karnataka – 20%)
• Iron Ore (Hematite): Total – 24,058 (Odisha – 39%, Jharkhand – 20%, Chhattisgarh – 19%)
• Iron Ore (Magnetite): Total – 11,228 (Karnataka – 69%, Andhra Pradesh – 13%)
• Lead & Zinc: Total – 767 (Rajasthan – 89%)
• Manganese: Total – 504 (Odisha – 34%, Karnataka – 25%, Madhya Pradesh – 12%)
• Nickel: Total – 189 (Odisha – 93%)
• Tungsten: Total – 89 (Karnataka – 41%, Rajasthan – 27%, Andhra Pradesh – 17%)

Key Institutions:

• Geological Survey of India (GSI): Established 1851, conducts resource exploration and hazard studies.
• Indian Bureau of Mines (IBM): Established 1948, regulates mineral resource exploitation and conducts research.