SPOTLIGHT ON INDIAN ELECTRONICS Spotlight on Indian Electronics | Page 32

well as market based policy interventions. Government

v.

Joint ventures between foreign companies and Indian

would prescribe emission and discharge standards,

partners.

excluding green house gas emissions, and the choice of

1.22 Trade and investment policy are inextricably linked with

technologies to meet the standards would be decided by

manufacturing policy to ensure greater harmony of

the project promoters. The Government will provide

objectives. While India will continue to integrate itself

continuous incentives, monetary and otherwise, to

with the globalised world through bilateral and regional

encourage polluting entities to reduce releases of harmful

free trade agreements / comprehensive economic

pollutants to ensure that the standards are complied with.

partnership agreements, it will be ensured that such

1.19 Land has emerged as a major constraint for industrial

agreements do not have a detrimental effect on domestic

growth in recent years. The Government will take

manufacturing in India. The government will also consider

measures to make industrial land available, which is

use of public procurement in specified sectors with

critical for sustained industrial growth through creation of

stipulation of local value addition in areas of critical

land banks by States; digitization of land and resources

technologies and wherever necessary such as solar

maps; and programmes for utilization of lands locked

energy equipment, electronic hardware, fuel efficient

under non productive uses, including defunct or sick

transport equipment and IT based security systems.

industries.

1.23 The growth of manufacturing at over 12 percent per

1.20 Manufacturing and technology development are closely

annum over the medium to long term would exert a lot of

inter-connected as technologies become useful when

pressure on raw materials markets. Arrangements for

they are converted into products through manufacturing

assured supply of such materials over the long term will

and the feedback from manufacturing fosters continuing

be put in place. Acquisition of advanced technology

technology development.

companies would facilitate transfer of technology to the

1.21 By leveraging the strength of our large market, policies

parent manufacturing company, while acquisition of

and measures will be taken to ensure access for Indian

companies enjoying better brand value or strategic

companies to foreign technologies as well as

location advantages would enhance market access of

development of advanced indigenous technologies. These

Indian firms. For these to be achieved a clear set of policy

would include:

guidelines will be put in place by the Government.

I.

Incentives, in the form of tax concessions and

1.24 Implementation of the policy is as important as policy

government subsidies, for indigenous development of

making itself, as unless properly implemented, the policy

technology;

by itself will not deliver the desired result. In order to

ii.

Partnerships between industries and government laboratories; iii. Preferential purchases by government agencies of indigenously developed products and technologies;

ensure effective implementation of the Policy, a manufacturing policy review mechanism will be instituted and a high-level committee chaired by Secretary,

Department of Industrial Policy and Promotion will monitor the implementation on a regular basis. A

iv. Judicious development of an Intellectual Property

Manufacturing Industry Promotion Board( MIPB) at the

regime to enable more collaborative innovation, as well

level of Union Minister of Commerce and Industry will be

as more indigenous innovation and improved access to

constituted to ensure coordination amongst Central

environmentally friendly technologies. India will be very

Ministries and State Governments. State Governments

cautious about further expansions beyond the present

would need to be equal partners in giving effect to this

TRIPS regime which could have implications on

policy and the State Industry Ministers Conference will be

development and ownership of technologies within the

convened on a half-yearly basis to initiate a dialogue for

country and

giving a focused thrust to manufacturing.

Rationalization of Regulatory Procedures

not willing to shed or reinvent their roles. The Government

2.1 On an average, a manufacturing unit needs to comply with

has to recognise the need to reinvent itself and allow the

nearly 70 laws and regulations. Apart from facing multiple

industry to self regulate itself to the extent possible. The

inspections, these units have to file sometime as many as

objective of an act or regulation should be achieved

100 returns in a year. This kind of compliance burden putscorruption

without being intrusive and giving rise to complaints of

off young entrepreneurs and they are not willing to take up

.

an entrepreneurial role. As a result, a large number of

2.3 Several provisions of different acts may either be

people who could have been self employed and would

rationalised or implemented in cooperation with public or

contribute to further employment and enhance economic

private institutions under the overall control of statutory

activity, end up accepting jobs much below their potential.

authorities to facilitate the entrepreneurs. It is, therefore,

2.2 A number of efforts have been made in the past to bring

proposed to have the following framework:

down this compliance burden. There have been attempts at

i)

Central / State Governments may provide exemptions

single window systems and fast track approvals. In certain

subject to fulfilment of conditions as provided in the

cases technology has been leveraged to enable electronic

statute. SPV may act as a facilitator in this regard.

approvals. These efforts have been only partially

ii) Mechanisms may be developed for cooperation of

successful, because different Government departments are