India's Industrial growth during 2021-22 stood at 11.7%

Business Thursday 09/February/2023 07:16 AM
India's Industrial growth during 2021-22 stood at 11.7%

New Delhi: India's Union Minister of State for Commerce and Industry Som Prakash on Wednesday informed Parliament that the industrial growth during 2021-22 was 11.7 per cent over the corresponding period of the last year.

"As per the Index of Industrial Production (IIP), the industrial growth during 2021- 22 was 11.7 per cent over the corresponding period of the last year. Whereas the annual average growth of IIP was 3.4 per cent and 3.2 per cent respectively during the period 2009-14 (Base year: 2004-05) and 2014-19 (Base Year: 2011-12)," Som Parkash said in reply to a parliamentary question. The government has undertaken various steps to boost industrial performance. These include the introduction of Goods and Services Tax, reduction in Corporate tax, interventions to improve ease of doing business, measures for reduction in compliance burden, policy measures to boost domestic manufacturing through public procurement orders, Phased Manufacturing Programme (PMP), and FDI policy reforms.

"The series of measures taken by the Government to improve the economic situation and convert the disruption caused by COVID-19 into an opportunity for growth includes Atmanirbhar packages, the introduction of the Production Linked Incentive (PLI) Scheme across fourteen sectors to augment the manufacturing capacity, investment opportunities under National Infrastructure Pipeline (NIP) and National Monetisation Pipeline (NMP), the soft launch of National Single Window System (NSWS), etc. An institutional mechanism to fast-track investments has been put in place, in the form of Project Development Cells (PDCs) in all concerned Ministries/ Departments of the Government of India," the government said in a press note.

The Emergency Credit Line Guarantee Scheme (ECLGS), with a provision of Rs 3 lakh crore which has now increased to Rs 5 lakh crore, is in the form of a fully guaranteed emergency credit line to monitor lending institutions. Financial support has been given to the stressed MSMEs with an infusion of Rs.20,000 crore equity support through Subordinate Debt. Fund of Funds created to infuse equity worth Rs 50,000 crore in the MSME Sector by setting up a Rs 10,000 crore Corpus Fund.

Also, the government is ensuring timely payment to the MSMEs by instructing all Government of India and CPSEs to clear all receivables of MSMEs within the next 45 days. Procurement from domestic companies is being encouraged by disallowing global tender in government procurement tenders up to Rs 200 crores. In Union Budget 2023- 24, an amount of Rs 9000 crore infused in the corpus of revamped Credit Guarantee Scheme for MSEs which will be effective from April 1, 2023. This would enable additional collateral-free guaranteed credit of Rs 2 lakh crore.