The federal government is contemplating growing nationwide specs for public procurement of products by Central authorities businesses to encourage home suppliers to plan their manufacturing schedule, an official stated.
The proposal is more likely to be included within the new industrial coverage being ready by the commerce and trade ministry.
The coverage may additionally counsel extending the offset coverage in public procurement in sectors past defence akin to electronics and ICT.
The official stated standardised specs of merchandise would allow authorities departments and public sector items (PSUs) to launch massive orders serving to the trade obtain economies of scale.
The federal government and PSUs procure items and providers price over Rs 5 lakh crore yearly, as per estimates. Standardised specs would additionally assist home trade plan their manufacturing and know-how properly prematurely.
In absence of this, authorities businesses place small orders with completely different specs and necessities.
“Coverage actions might help public procurement add vital worth to the home trade,” the official added. The ministry has developed an e-marketplace portal (GeM) for purchasing of products and providers by completely different authorities businesses and departments.
Offset coverage has helped international locations in encouraging investments and switch of know-how. That is at present utilized in defence sector in India. The proposed industrial coverage could suggest extension of offset coverage in areas akin to electronics and ICT initially.
The coverage goals at modernising the present industries, lowering regulatory hurdles and inspiring adoption of frontier applied sciences akin to robotics and synthetic intelligence.
The proposed coverage will utterly revamp the Industrial Coverage of 1991.
A draft industrial coverage has talked about creating massive variety of jobs, promote overseas know-how switch and appeal to $100 billion FDI yearly.