CategoriesFocus Areas Ideas for GrowthThe Indian government launched the Production Linked Incentive (PLI) in 2020, starting with the Large-Scale Electronics Manufacturing Sector. When launched, it was heralded by the government as one of the major initiatives to increase the share of manufacturing in the country. However, the short-run results have been a bit of a mixed bag. Success appears […]
CategoriesFocus Areas Ideas for GrowthMSMEs are called the powerhouse of the Indian Economy. They contribute 27% to India’s GDP, provide over 11 crore jobs and contribute 45% to India’s exports. The 6.4 crore MSMEs embody the entrepreneurial spirit of India. But at the same time the MSME sector is often regarded as a symptom of India’s poor business environment, […]
CategoriesFocus Areas Ideas for GrowthWe have established before that exports are critically important for a country like India to grow fast. However, exporting goods from India can be an incredibly challenging process due to the complex legal and regulatory framework that involves multiple government agencies. From the moment a business decides to export its products to international markets, they […]
CategoriesFocus Areas Ideas for GrowthIn summary Growth journey of India and Bangladesh Since the Liberation of Bangladesh in 1971, India and Bangladesh have followed similar economic growth trajectories. Both countries grew at an average annual growth rate of about 4% till 2001 and since then have grown at 8-9% annually. This growth trajectory, however, masks key differences in the […]
With the 2023 budget around the corner, former chair of the Niti Aayog, Dr Arvind Panagriya speaks with FED’s Operating Partner, Piyush Doshi, about his expectations from the last full budget before the general elections in 2024. He talks about the need for choosing capital expenditure over fiscal consolidation, diverting capital towards labour-intensive manufacturing industries […]
CategoriesElectronics Focus AreasIndia’s growth in Electronic Manufacturing over the last few years has been remarkable. Since 2015, we have had a 15% annual growth in the Total Electronics and Electricals exports, with growth in Final Goods exports being a whopping 26%. However, in the global scenario, India is still behind by a huge margin. While China’s export […]
CategoriesFocus Areas TourismIn 2019 international visitor spending amounted to over USD 1.8 trillion (6.8% of world exports). But India was able to capture less than 1.5% of this market in terms of international tourist arrivals and tourist spending. While France, Spain, USA and China capture nearly 25% of this market. This clearly shows that despite India’s rich […]
CategoriesFocus Areas TextilesWhen we think of ‘manufacturing’, India doesn’t come to mind as a success story, and with good reason. India’s slice of the global manufacturing pie is a meagre ~2.5% (2019). The ~45% of the Indian workforce employed in agriculture contributes less than a fifth to India’s GVA, signalling a serious problem of low worker productivity. […]
CategoriesFocus Areas Food ProcessingBy unshackling food processing in India and realising its potential, we can create value for farmers, entrepreneurs and labour. India has traversed a long and hard journey from scarcity to surplus. Today, the world calls India a food powerhouse; our food production levels are among the highest in the world, ranking in the top three […]
CategoriesFocus AreasThe right reforms across a few clusters can help India capture $100 billion of incremental exports trade in textile and apparel over the next 5 years, creating more than 10 million jobs When India gained independence in 1947, the country had a flourishing textile industry. Over 400 textile mills employed more than 5 lakh workers. […]
