The six-day business expo Make in India Week has generated investment commitments worth Rs.15.2 lakh crore for the country, the department of industrial policy and promotion (DIPP) said on Thursday at the event's closing ceremony. Around 30% of these are foreign investment commitments. Maharashtra generated more than half the total tally, inking MoUs worth nearly Rs.8 lakh crore, expected to generate 30 lakh jobs. Within the state, the Konkan division, which includes the Mumbai Metropolitan Region, cornered the largest share of MoUs, worth over Rs.3.25 lakh crore. The deprived regions of Vidarbha and Marathwada generated MoUs worth Rs.1.5 lakh crore. Deals for Western Maharashtra and Khandesh totalled Rs.50,000 crore and Rs.25,000 crore.
The big question is how many of these commitments will translate into actual projects. “We expect the conversion rate to be over 80% in the next three years. These are investment commitments, which means pre-clearance work has been done,“ said DIPP secretary Amitabh Kant. Besides manufacturing, it had also focussed on innovation and start-ups and created a platform where corporates, policymakers and political leaders could converge, he said.
Considered the largest multi-sector business fair in Asia, Make In India Week was aimed at showcasing India's manufacturing sector. It generated 8.9 lakh visitors across 102 countries, the DIPP said. It played host to 20 foreign dignitaries, including two prime ministers.Over 9,000 Indian companies and over 2,000 foreign companies participated.
The state plans to set up a taskforce for each sector to pursue the progress of the MoUs and will take a monthly review. “We expect a high rate of conversion because these MoUs have already been whetted,“ chief minister Devendra Fadnavis said. Asked if the bulk of these deals had in fact been struck prior to the expo, he said, “We have signed these MoU during the week, though we had started talking to these parties around two months ago.“
Fadnavis said the event had generated investment commitments across sectors in Maharashtra. “This includes agro-processing, real estate, textile, auto, retail and skill development.“
The Confederation of Indian Industry said it would recommend measures to the Union government to boost the conversion rate of MoUs.“We recommend the creation of a pool of “good banks“ to promote lending, ensure good land pooling with governments, and spread taxation across industry (including non-covered sectors) to bring down the burden of taxation without affecting government revenue,“ said CII director general Chandrajit Banerjee.