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National Manufacturing Mission

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NATIONAL MANUFACTURING MISSION

  • On February 1, 2025, Union Finance Minister Nirmala Sitharaman presented the Union Budget 2025-26 in Parliament, where she outlined a series of initiatives designed to strengthen India’s manufacturing sector, promote employment, and drive economic growth.
  • Some of the key announcements include the launch of the National Manufacturing Mission, the introduction of a Focus Product Scheme for Footwear and Leather, and the establishment of a National Action Plan for Toys.
  • The budget also highlights the commitment to supporting the Purvodaya initiative for the food processing sector.

THE MISSION

  • The National Manufacturing Mission aims to cover small, medium, and large industries to enhance the Make in India initiative, improving India’s manufacturing sector’s global competitiveness.
  • The mission will provide comprehensive policy support, roadmaps for execution, and a framework for governance and monitoring at both the central and state levels.

FOCUS AREAS

The Mission will focus on the following five critical areas:

  • Ease and Cost of Doing Business: Streamlining regulatory processes to make it easier and more cost-effective for businesses to operate in India.
  • Future-Ready Workforce: Fostering a workforce that is skilled for the emerging needs of modern industries.
  • Vibrant and Dynamic MSME Sector: Supporting Micro, Small, and Medium Enterprises (MSMEs) to grow, innovate, and become competitive.
  • Technology Availability: Ensuring the availability of advanced and innovative technologies for manufacturing sectors.
  • Quality Products: Promoting the production of high-quality products that meet international standards.

SECTORAL FOCUS

  • Clean Tech Manufacturing: The mission will support sectors involved in the manufacturing of clean technologies, including:
    • Solar PV cells
    • Electric Vehicle (EV) batteries
    • EV motors and controllers
    • Electrolyzers
    • Wind turbines
    • High voltage transmission equipment
    • Grid-scale batteries

The mission’s goal is to increase domestic value addition, reduce dependency on imports, and help build an ecosystem for the production of these critical components in India.

  • Focus Product Scheme for Footwear & Leather Sectors
    • The government has introduced a new Focus Product Scheme aimed at enhancing the productivity, quality, and competitiveness of the footwear and leather sectors.

KEY FEATURES:

  • The scheme will support the design capacity, component manufacturing, and machinery required for both leather and non-leather footwear production.
  • Special emphasis will be placed on non-leather quality footwear in addition to the traditional leather footwear and leather products.

Expected Outcomes:

  • Employment Generation: The scheme is projected to create 22 lakh jobs.
  • Economic Impact: It is expected to generate a turnover of ₹4 lakh crore.
  • Export Growth: The initiative aims to boost exports from the sector to ₹1.1 lakh crore.
  • National Action Plan for Toys
    • The National Action Plan for Toys is a strategic initiative aimed at making India a global hub for toy manufacturing.
    • The plan will focus on creating a manufacturing ecosystem that produces high-quality, innovative, and sustainable toys under the Made in India

Key Focus Areas:

  • Toy Manufacturing Clusters: Development of specialized manufacturing hubs for toy production to optimize production capabilities and reduce costs.
  • Skill Development: Ensuring a skilled workforce for the toy industry through training and education.
  • Innovation & Sustainability: Encouraging the production of eco-friendly and innovative toys to cater to global market demands.

The plan is expected to position India as a major player in the global toy industry, which has a massive market globally.

  • Support for Food Processing: Purvodaya
    • As part of the Purvodaya initiative, which focuses on the development of Eastern India, the government has proposed the establishment of the National Institute of Food Technology, Entrepreneurship, and Management (NIFTEM) in Bihar.
    • This institute will play a pivotal role in supporting the growth of the food processing sector in Eastern India.

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