Ease of Doing Business for MSMEs: Union Minister of Commerce and Industry, Piyush Goyal announced that seven new Production Linked Incentive (PLI) schemes that are not part of the original program had just been approved, reiterating the government’s commitment to promote manufacturing in India.
Addressing IIM Ahmedabad’s Red Brick Summit 2022 virtually from New Delhi on Saturday, the minister said that the PLI scheme has been very well received.
Goyal mentioned that the idea behind PLI was to promote those champion sectors where there are comparative and competitive advantages. He suggested the need to change the mindset of subsidies and build a resilient and self- reliant business ecosystem that is not dependent on the government.
The Minister observed that micro, small and medium enterprises (MSMEs) are the real beneficiaries of the PLI scheme because when a large industry sector came up, it brought with it a whole ecosystem of manufacturers and service providers.
“The mainstay of India is MSMEs and the mainstay of MSMEs is large industry which aggregates what our MSMEs are doing and provides them with more opportunities”, he said.
Every PLI scheme has been assessed carefully in collaboration with industry before being formulated, Goyal assured. Moreover, he said that the PLI was just a kick-start mechanism and therefore needs to have a sunset clause as ultimately the industry needs to be viable and independent.
Additionally, Goyal stated that India is one of those few countries which have not only met the commitment it made in Paris in 2015 but has exceeded it, following its green energy push.
“We (are) committed to 175 GW of clean energy. We have now upped the ante to set a target of 500 GW and we are well on track to achieve it”, he said adding that our energy mix is expected to be predominantly renewable by 2030.
The Minister also noted that India was well on track to create 1 billion tonne Carbon sink through afforestation and rejuvenation. Furthermore, our industry has been working on newer technologies like green Hydrogen to ensure round- the -clock supply of renewable energy, he said.