Q. Atmanirbhar Bharat Abhiyan
The Atmanirbhar
Bharat Abhiyan, or the Self-Reliant India Campaign, is a significant economic
initiative launched by the Government of India in May 2020, in response to the
adverse economic impact caused by the COVID-19 pandemic. The term
"Atmanirbhar" translates to "self-reliant" in Hindi, and
the essence of the initiative is to make India a more self-sufficient and
resilient nation by focusing on enhancing domestic production, boosting local
industries, and reducing dependence on imports. The vision behind Atmanirbhar
Bharat is not just about self-sufficiency but also about achieving sustainable
economic growth, creating employment, fostering innovation, and improving the
overall competitiveness of Indian industries in the global market. The campaign
aims to reshape India’s economic trajectory by emphasizing the importance of
local solutions to local challenges and focusing on sectors that will drive
India’s future prosperity. The initiative envisions a comprehensive approach to
economic revival, relying on a combination of policy reforms, financial
stimulus packages, and structural changes to strengthen the Indian economy,
making it robust, agile, and globally competitive.
The Genesis of Atmanirbhar Bharat Abhiyan
The Atmanirbhar
Bharat Abhiyan was launched amidst the global disruption caused by the COVID-19
pandemic, which severely impacted India’s economy, leading to contractions in
GDP, a decline in industrial output, and a halt in economic activities. The
lockdowns imposed to curb the spread of the virus had significant consequences
for businesses, particularly small and medium-sized enterprises (SMEs),
agriculture, and manufacturing sectors. The need for economic recovery led the
Government of India to prioritize a strategy that would not only help the country
emerge from the immediate economic crisis but also set the foundation for
long-term growth. The Prime Minister of India, Narendra Modi, introduced the
Atmanirbhar Bharat Abhiyan in his speech on May 12, 2020, stressing that
self-reliance would be the key to India’s future success. The Abhiyan aimed to
address several critical issues, including India’s dependency on foreign
countries for essential goods, the resilience of its supply chains, and its
vulnerability to global disruptions. The COVID-19 pandemic exposed
vulnerabilities in India’s global trade relations, especially in terms of
reliance on imports for crucial sectors like pharmaceuticals, electronics, and
chemicals. As a result, Atmanirbhar Bharat was seen as a transformative vision
to reorient the Indian economy toward local production and innovation,
leveraging India’s vast resources, talent, and potential.
Objectives of the Atmanirbhar Bharat Abhiyan
The primary
objective of Atmanirbhar Bharat is to reduce the country’s dependency on
foreign imports and create a more robust and self-sustaining economy. However,
the scope of the initiative goes beyond mere economic recovery. The Abhiyan
also aims to address structural weaknesses in India’s economic systems, create
jobs, and enhance India’s competitive edge in the global marketplace. Some of
the key objectives of the Atmanirbhar Bharat Abhiyan include:
1.
Boosting
Domestic Manufacturing: One
of the central pillars of the campaign is the revitalization of India’s
manufacturing sector. By encouraging industries to produce more locally and
reduce reliance on imports, Atmanirbhar Bharat seeks to transform India into a
manufacturing hub. This objective is in line with the "Make in India"
initiative launched in 2014, which sought to boost India’s manufacturing
capacity. However, the Atmanirbhar Bharat Abhiyan emphasizes more localized
production, focusing on emerging sectors such as electronics, defense,
renewable energy, and healthcare.
2.
Promoting
Innovation and Technology:
Another core objective of the Abhiyan is fostering innovation and technological
advancement across sectors. The Government aims to encourage research and
development (R&D) to create new technologies and processes that will reduce
the dependency on foreign products. It focuses on building capacities in areas
like artificial intelligence, biotechnology, information technology, and
advanced manufacturing technologies.
3.
Strengthening
the Local Supply
Chain: The campaign
highlights the importance of creating robust, efficient, and resilient supply
chains. The pandemic exposed significant gaps in India’s supply chain networks,
particularly in the food, healthcare, and manufacturing sectors. Strengthening
the supply chain infrastructure is crucial for enabling smooth logistics,
minimizing disruptions, and ensuring that domestic industries can function
efficiently without relying on external sources for essential inputs.
4.
Fostering
Entrepreneurship and MSMEs:
Atmanirbhar Bharat recognizes the vital role of Micro, Small, and Medium
Enterprises (MSMEs) in the country’s economic development. The MSME sector is
the backbone of India’s economy, providing employment and contributing to the
nation’s GDP. The initiative aims to create a conducive environment for
entrepreneurs and MSMEs to flourish by providing financial assistance,
enhancing access to technology, and promoting skill development. MSMEs are seen
as critical drivers of innovation, employment, and industrial diversification.
5.
Encouraging
Foreign Investment: While
Atmanirbhar Bharat emphasizes self-reliance, it also seeks to integrate India
into the global economy through strategic foreign investments. The campaign
encourages foreign direct investment (FDI) in sectors where India can leverage
its comparative advantages, such as renewable energy, electric mobility, and
defense manufacturing. The government has also introduced various reforms to
make India an attractive destination for global investors.
6.
Job
Creation and Skill Development: Job creation, particularly
in the formal sector, is a key component of the Abhiyan. By revitalizing
industries, promoting new sectors, and strengthening MSMEs, Atmanirbhar Bharat
aims to create millions of new jobs. Additionally, the campaign stresses the
importance of upskilling and reskilling the workforce, particularly in emerging
fields like digital technology, healthcare, and green energy.
7.
Economic
Reforms and Policy Measures:
The Abhiyan also includes a range of
economic reforms designed to make India more business-friendly, encourage
competition, and improve the ease of doing business. This includes simplifying
labor laws, offering tax incentives, reducing regulatory burdens, and
modernizing agriculture. The policy measures focus on facilitating growth in
various sectors and enhancing India’s economic competitiveness on the global
stage.
Key Components and Measures of the Atmanirbhar Bharat Abhiyan
The Atmanirbhar
Bharat Abhiyan is a multi-dimensional initiative that combines various policy
measures and financial reforms aimed at strengthening different sectors of the
economy. The Indian government announced a series of stimulus packages to
support industries, promote economic recovery, and create a self-reliant
economy. These packages were intended to provide immediate relief to affected
sectors and create the foundations for long-term growth. Some of the key
components of the initiative include:
1.
Atmanirbhar
Bharat Package: The
Government of India announced a comprehensive ₹20 lakh crore economic package
in May 2020, which represented approximately 10% of India’s GDP. The package
aimed to provide financial support to businesses, especially MSMEs, farmers,
and the informal sector, through various measures, including liquidity support,
credit guarantee schemes, and financial assistance. The package also included
direct cash transfers to vulnerable sections of society, such as migrant
workers and low-income families.
2.
Production-Linked
Incentive (PLI) Scheme: The Production-Linked Incentive (PLI) scheme is one of
the most important measures introduced under Atmanirbhar Bharat. The PLI scheme
offers financial incentives to manufacturers in select sectors such as
electronics, textiles, pharmaceuticals, and food processing, provided they meet
specific production targets. This scheme aims to attract investments, promote
domestic manufacturing, and make India globally competitive in these sectors.
3.
Agricultural
Reforms: Atmanirbhar Bharat
emphasizes reforms in the agricultural sector to ensure that farmers are
empowered and that agriculture can contribute more effectively to the economy.
This includes reforms related to the Farmers’ Produce Trade and Commerce
(Promotion and Facilitation) Act, 2020, which allows farmers to sell their
produce directly to buyers outside of traditional mandis (markets). These
reforms aim to increase income for farmers, reduce dependence on middlemen, and
improve the efficiency of the agricultural supply chain.
4.
Infrastructure
Development: The government
has made significant investments in infrastructure development, particularly in
sectors such as transportation, logistics, and energy. The focus is on
enhancing rural infrastructure, modernizing cities, and improving connectivity,
which will not only boost economic growth but also create employment
opportunities. The aim is to provide a foundation for sustainable and inclusive
development across the country.
5.
Financial
Reforms and Credit Support:
The Atmanirbhar Bharat package includes various financial measures to support
industries, including easy access to credit, enhanced liquidity for MSMEs, and
capital infusion into public sector banks. These measures are designed to
provide immediate relief to businesses facing financial distress due to the
pandemic while also ensuring long-term financial stability.
6.
Promoting
Digital India and E-Commerce:
Digital transformation is another important component of Atmanirbhar Bharat.
The government has focused on promoting digital payments, e-commerce, and digital
platforms to enhance access to markets and services, especially in rural areas.
The Digital India initiative is integral to the campaign, as it supports the
growth of the tech industry, enables financial inclusion, and encourages
digital entrepreneurship.
Challenges and Criticisms of Atmanirbhar Bharat Abhiyan
While the
Atmanirbhar Bharat Abhiyan has been widely lauded for its ambitious goals, it
is not without its challenges and criticisms. Some critics argue that the focus
on self-reliance may lead to protectionism and undermine the benefits of global
trade and economic integration. Critics also point out that achieving true
self-reliance is a complex and long-term process that requires significant
investments in infrastructure, innovation, and skill development. The
successful implementation of the campaign depends on addressing these
challenges while balancing the goals of self-sufficiency with the need for
global collaboration and engagement.
Conclusion
The Atmanirbhar
Bharat Abhiyan represents a bold and visionary effort by India to redefine its
economic trajectory. It seeks to promote self-reliance, foster innovation, and
create a more resilient and competitive economy. While the campaign is still in
its early stages
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