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Make in India: Challenges & Prospects

12 Years of Make in India: India’s Journey towards a Manufacturing Nation

Why in the News?

  • Make in India completed 12 years on 25 September 2026.
  • Launched in 2014, the initiative aims to strengthen India’s manufacturing, investment, innovation and domestic production capabilities.

Key Highlights

  • Make in India launched: 25 September 2014.
  • Make in India 2.0: Covers 27 sectors, including 15 manufacturing and 12 services sectors.
  • Manufacturing GVA recorded 10.88% CAGR between 2022-23 and 2025-26.
  • Manufacturing component of IIP grew 7.0% during April-July 2026.
  • Electronics production increased from ~₹1.9 lakh crore in 2014-15 to ~₹13.11 lakh crore in 2025-26.
  • Mobile phone production increased from ~₹18,000 crore to ~₹6.27 lakh crore.
  • Crude steel production increased from 81.7 MT to 170 MT between 2014-15 and 2025-26.
  • Indigenous defence production reached ₹1.78 lakh crore in FY 2025-26.
  • Cumulative FDI during 2014-15 to 2025-26: USD 843 billion.

Manufacturing and Strategic Capabilities

  • Pharmaceuticals
    • India ranks 3rd globally by volume and 11th by value.
    • Pharmaceutical turnover: ₹4,71,898 crore in 2024-25.
  • Medical devices
    • Domestic manufacturing increased by ~48.2% from 2019-20 to 2024-25.
  • Rare-earth magnets
    • Pilot plant for Nd-Fe-B magnets established at ARCI, Hyderabad, in March 2026.
    • Important for EVs, renewable energy, electronics and advanced manufacturing.
  • Space semiconductors
    • ISRO and SCL developed VIKRAM3201 and KALPANA3201 microprocessors.
  • Solar manufacturing
    • Module capacity: 2.3 GW in 2014 → 192 GW in June 2026.
    • Solar-cell capacity: 1.2 GW → ~30 GW over the same period.

Major Industrial Initiatives

  • National Single Window System (NSWS)
    • Common digital platform for identifying and applying for business approvals.
    • Provides access to 327+ Central and 3,452 State approvals across 34 States/UTs.
  • India Industrial Land Bank (IILB)
    • GIS-enabled platform for industrial land information.
    • As of May 2026: 4,220 industrial parks covering ~6.98 lakh hectares.
  • PM GatiShakti
    • Launched in October 2021.
    • Uses geospatial data, satellite imagery and API integration for coordinated infrastructure planning.
  • Production Linked Incentive (PLI)
    • Covers 14 sectors.
    • By June 2026: ₹2.40 lakh crore investment and over ₹22.66 lakh crore production/sales.
  • Startup India
    • Launched in January 2016.
    • ~2.54 lakh recognised startups as of September 2026.

Recent Manufacturing Schemes

  • PLI for Specialty Steel
    • Third round launched in November 2025.
    • Covers super alloys, CRGO steel, stainless steel, titanium alloys and coated steels.
  • Sintered Rare Earth Permanent Magnets
    • ₹7,280 crore allocation.
    • Target: 6,000 MTPA integrated capacity.
  • BHAVYA
    • ₹33,660 crore for 100 investment-ready industrial parks.
  • Mobile Phone Manufacturing Scheme
    • ₹62,500 crore for FY 2026-27 to FY 2030-31.
  • Semicon 2.0
    • ₹1,27,500 crore allocation for semiconductor ecosystem development.
  • BHAVYA Rasayan
    • ₹3,030 crore for three dedicated chemical parks.

Prelims Quick Revision

  • Make in India: launched 25 September 2014.
  • Make in India 2.0: 27 sectors = 15 manufacturing + 12 services.
  • Manufacturing GVA CAGR, 2022-23 to 2025-26: 10.88%.
  • Crude steel production: 81.7 MT → 170 MT.
  • Defence production FY 2025-26: ₹1.78 lakh crore.
  • PM GatiShakti: launched October 2021.
  • PLI covers 14 sectors.
  • Semicon 2.0: ₹1,27,500 crore allocation.
  • Rare-earth magnet scheme: ₹7,280 crore, target 6,000 MTPA.
  • BHAVYA: ₹33,660 crore for 100 industrial parks.

UPSC Prelims Trap

  • Make in India was launched in 2014, while PM GatiShakti was launched in 2021.
  • Make in India 2.0 covers 27 sectors, not 27 manufacturing sectors.
  • PLI covers 14 sectors, while Make in India 2.0 covers 27 sectors.
  • IILB is a GIS-enabled industrial land information platform, whereas NSWS facilitates access to business approvals.
  • Semicon 2.0 focuses on the broader semiconductor ecosystem, including design, manufacturing, advanced packaging, materials, equipment, research and talent development.

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