India wants to make more goods at home and sell them to the world. More factories mean more jobs and less dependence on imports. To push this, the government launched Make in India in 2014. Later, in 2020, it added the Production Linked Incentive (PLI) schemes, which pay companies for producing more. Exams ask about the launch dates, the nodal department, the sectors and the idea behind PLI. This post explains both in simple words. It ends with 15 previous year questions.
Key Points (Quick Revision)
- Make in India was launched on 25 September 2014. Its logo is a lion made of gears.
- The nodal department is the Department for Promotion of Industry and Internal Trade (DPIIT).
- A key aim is to raise the share of manufacturing in GDP towards 25%.
- PLI schemes began in 2020, first for mobile phones, medical devices and pharmaceutical ingredients.
- PLI was extended to 14 sectors in all.
1. What is Make in India?
Make in India is a national initiative to turn India into a global manufacturing hub.
- It was launched on 25 September 2014.
- Its logo is a lion walking, made of cogs and gears, to show strength and industry.
- It is led by the DPIIT, under the Ministry of Commerce and Industry.
It rests on four pillars:
- New processes - making it easier to do business.
- New infrastructure - industrial corridors, smart cities and logistics.
- New sectors - opening more sectors to foreign investment.
- New mindset - the government acting as a facilitator, not a regulator only.
2. Goals of Make in India
- Raise the share of manufacturing in GDP towards 25%.
- Create millions of jobs in manufacturing.
- Attract foreign direct investment and improve ease of doing business.
- Build skills and use better technology.
The initiative first focused on 25 sectors, such as automobiles, electronics, pharmaceuticals, textiles, defence and renewable energy. The list has been revised over the years.
The 25% target was also part of the National Manufacturing Policy, 2011. Progress has been slower than hoped, so the target date has been pushed forward.
3. Related initiatives
| Initiative | Year | Aim |
|---|---|---|
| Startup India | 2016 | Support new businesses with easier rules and funding |
| Industrial corridors | From 2007 onward | Planned industrial regions along transport links, such as the Delhi-Mumbai Industrial Corridor |
| Atmanirbhar Bharat | 2020 | Self-reliance, with a large economic package after COVID-19 |
| PM Gati Shakti | 2021 | A national master plan to link infrastructure projects |
4. What is the PLI scheme?
A Production Linked Incentive scheme pays companies a cash incentive for producing more in India.
- The incentive is a percentage of extra sales - sales above a base year.
- It is paid for a fixed period, usually about five years.
- Companies must meet minimum investment and sales targets to qualify.
The idea is simple: reward output, not just investment. A company that makes and sells more gets more support.
5. PLI sectors
The first PLI schemes came in 2020 for mobile phones and electronic components, pharmaceutical ingredients (APIs and key starting materials) and medical devices. More sectors were added in 2020 and 2021, making 14 sectors in all:
- Mobile phones and electronic components
- Key starting materials, drug intermediaries and APIs
- Medical devices
- Automobiles and auto components
- Pharmaceutical drugs
- Specialty steel
- Telecom and networking products
- IT hardware
- White goods - air conditioners and LED lights
- Food products
- Textiles - man-made fibre and technical textiles
- High-efficiency solar PV modules
- Advanced chemistry cell (ACC) batteries
- Drones and drone components
6. Results and criticism
Successes: India has become one of the largest makers of mobile phones, and phone exports have risen sharply. Some global firms have moved part of their production to India.
Criticism:
- Much value is still added abroad; many parts are imported and only assembled in India.
- Some sectors were slow to use the scheme.
- Incentives are a cost to the government.
- Manufacturing's share in GDP has not yet reached the 25% goal.
Figures on PLI disbursements and exports change every year. Use the latest government data before the exam.
7. Previous year questions
- When was Make in India launched? – 25 September 2014
- What is the logo of Make in India? – A lion made of gears
- Which department is the nodal agency for Make in India? – DPIIT
- Under which ministry does DPIIT work? – Ministry of Commerce and Industry
- What share of GDP does India aim for manufacturing? – 25%
- Which policy of 2011 also set the 25% manufacturing target? – National Manufacturing Policy
- How many sectors did Make in India first focus on? – 25
- What does PLI stand for? – Production Linked Incentive
- In which year did PLI schemes begin? – 2020
- For which sector was the first PLI scheme launched? – Mobile phones and electronic components
- How many sectors are covered under PLI schemes in all? – 14
- On what basis is the PLI incentive paid? – Extra sales over a base year
- When was Startup India launched? – 2016
- Which 2020 campaign aims at self-reliance? – Atmanirbhar Bharat
- What is the national master plan for infrastructure launched in 2021? – PM Gati Shakti
8. How to revise this topic
Start with Make in India: 25 September 2014, lion logo, DPIIT, four pillars, 25 sectors, 25% target.
Next, learn PLI: started in 2020, incentive on extra sales over a base year, about five years, 14 sectors.
Then remember the related schemes: Startup India 2016, Atmanirbhar Bharat 2020, PM Gati Shakti 2021, industrial corridors.
Finally, note the criticism: assembly over value addition, slow uptake in some sectors and the cost of incentives.
9. Frequently Asked Questions
What is Make in India?
Make in India is a national initiative launched on 25 September 2014 to make India a global manufacturing hub. It is led by DPIIT, and its logo is a lion made of gears.
What is the PLI scheme?
The Production Linked Incentive scheme pays companies a cash incentive based on their extra sales over a base year, usually for about five years, to boost manufacturing in India.
How many sectors are covered under PLI?
PLI schemes cover 14 sectors, including mobile phones, pharmaceuticals, medical devices, automobiles, textiles, solar modules, ACC batteries and drones.
What is the manufacturing target under Make in India?
A key aim is to raise the share of manufacturing in India's GDP towards 25%, a target also set in the National Manufacturing Policy of 2011.
Which department runs Make in India?
The Department for Promotion of Industry and Internal Trade (DPIIT), under the Ministry of Commerce and Industry, is the nodal department.
For more Economy topics in simple language, see our Special Economic Zones, FDI vs FPI and Disinvestment and PSU Ratnas posts, or browse the Economy section. Preparing for a state exam? Start with the UP TGT guide or join the 100 Hour GS Course.