| Date: |
25-09-2015 |
| Subject: |
India's first National Capital Goods Policy to be unveiled in November |
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NEW DELHI: New Delhi: India's first National Capital Goods Policy will be unveiled in November as part of the government's plans to spur manufacturing. "We will take it (the policy for the capital goods sector) to the Cabinet by November-end," said Rajan Katoch, secretary, heavy industries ministry.
Earlier, the government had sought suggestions through a draft paper to frame policy on the capital goods industry to increase the sector's contribution from 12 per cent to 20 per cent in total manufacturing by 2025.
The paper had pointed out that imports continue to address 35-40 per cent of domestic demand, with the proportion being significantly higher in "critical components" segment for each subsector.
The draft paper further said that India's share in global exports in the capital goods sector ranges between 0.1 per cent and 0.6 per cent across subsectors, while the share of global exports for China ranges between 7.7 per cent and 16.3 per cent depending on the subsector. The capital goods sector contributes significantly to exports, having grown at about 20 per cent per annum over the past decade and notched up over Rs 52,000 crore in 2013-14.
The heavy industries secretary also said that individual Cabinet notes on closure of four central public sector enterprises, including three units of HMT and Tungabhadra Steel Products have been circulated while discussions are on with the defence ministry on Hindustan Cables. "We are getting the views of various ministries. On Hindustan Cables, there was some discussion with defence ministry where they were expressing some interest in one or two of the units. So awaiting a final response, we will move ahead (with process of closure) in case they (defence ministry) are not interested," he said.
Source : economictimes.indiatimes.com
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