"Integration or dovetailing of FTP with Make in India Campaign will help in efficient realisation of greater objective making India a low cost global manufacturing hub," Assocham President Rana Kapoor said.
India should prioritise its manufacturing focus on key sectors where India already has existing strengths like Auto, Textiles, Pharma, Bio-tech etc. We should deepen and widen our capabilities and create strong global market share and mind share, he said.
It must provide incentives for Domestic Value Addition (DVA) that is the proportion of exports truly produced in India, he said.
'Create in India' is about creating products and brands through design and innovation backed by a strong manufacturing push, he added.
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In order to rationalise plan expenditure, he said, it is critical to assimilate similar programs under one common head so as to improve execution, effective monitoring and prevent duplication.
"For instance food security programs such as Annapurna Scheme under the Ministry of Rural Development, Scheme for Supply of Food grains to Welfare Institutions under Ministry of Consumer Affairs, Food & Public Distribution must be merged under the larger ambit of 'food security' and should be implemented through revamped PDS model," he said.
Akin to most private sector banks, PSBs should also adopt a variable cost-asset model instead of a fixed-asset model, he said, adding, this could release Rs 1.5-2 lakh crore and also in turn generate more employment across the board," he said.
By injecting greater capital and credit into the system, the economy is poised for a 5.7-5.8 per cent GDP growth this year, and potentially even 6.5 per cent by 2015-16, he added.