Govt Sets Up Panel to Draft Plan for New National Manufacturing Mission

In a significant step towards strengthening the Make in India initiative, the government has set up an inter-ministerial committee to develop the framework for a new national manufacturing mission. The mission was first announced during the Union Budget in February 2025, with the goal of increasing the manufacturing sector’s contribution to India’s GDP. The committee, led by Niti Aayog CEO B V R Subrahmanyam, has already begun consultations with key stakeholders, including state governments and domestic industries.

Why in the news?

The Indian government has formed an inter-ministerial committee tasked with drafting a comprehensive plan for a new national manufacturing mission. This mission, which was first announced during the 2025 Union Budget, aims to enhance India’s manufacturing sector and boost the Make in India initiative.

Ease of Doing Business

• The mission will focus on creating a more business-friendly environment to facilitate smooth operations for industries. By simplifying processes, it aims to reduce bureaucracy and make it easier for businesses to operate in India.

Workforce Development

• The mission will work on preparing a future-ready workforce. This will involve skill development initiatives to ensure that the workforce can meet the demands of modern manufacturing.

Strengthening MSMEs

• Small and Medium Enterprises (MSMEs) are critical to India’s economy. The mission aims to provide them with the necessary support to grow and compete on the global stage, ensuring they have access to better resources, technology, and financial support.

Technology Integration

• One of the primary objectives is to provide access to cutting-edge technology to Indian manufacturers. This will help them stay competitive in the global market by improving efficiency and innovation in manufacturing processes.

High-Quality Manufacturing

• Ensuring the production of high-quality goods is another priority. The mission will work towards improving the standards of Indian-made products, ensuring that they meet international quality benchmarks.

Aims of the National Manufacturing Mission

• The overarching goal of the mission is to increase the contribution of manufacturing to India’s GDP, which currently stands at 16-17%. The government is aiming for a higher share of manufacturing in the economy through policy support, a stronger governance framework, and effective monitoring systems at both the central and state levels.

Expert Views on the Mission’s Impact

Industry experts view this mission as an important step towards making India a globally competitive manufacturing hub. They believe that it will,

• Enhance competitiveness and efficiency within the sector.
• Foster innovation and technological advancements.
• Integrate domestic manufacturing into global value chains.
• Position India as a leading player in the global manufacturing market.

The Role of ‘Make in India’ in Strengthening the Mission

• The National Manufacturing Mission builds on the success of the Make in India program, which was launched in 2014. Make in India aims to encourage companies to set up manufacturing operations in India, creating jobs, attracting investment, and turning India into a global manufacturing hub.
• The mission is expected to have a broad impact on key sectors such as automobiles, electronics, textiles, pharmaceuticals, and food processing. It will also work on improving the ease of doing business and attracting foreign investment, while supporting innovation and skill development through programs like Skill India and Startup India.

Challenges and Opportunities

• While India has seen progress in increasing foreign investments and developing sectors like mobile phone manufacturing, there are still challenges such as regulatory bottlenecks, infrastructure gaps, and the need for a more skilled workforce. The National Manufacturing Mission is set to address these issues, creating a more conducive environment for growth and development in the sector.