Manufacturing Industry Witnesses Policy Continuity and Fresh PLIs

The manufacturing sector anticipates policy continuity, capital infusion, and new PLI schemes as the Narendra Modi-led NDA government begins its third term to further position India as a preferred manufacturing destination for foreign companies and to establish a robust and resilient supply chain ecosystem.

Furthermore, insiders within the industry are unconcerned about the coalition nature of the government. Indeed, the entry of Chandrababu Naidu-drove Telugu Desam Party's (TDP) into the ruling alliance is being cheered by the business as the new Andhra Pradesh chief minister is viewed as somebody who will push for change and development in the space. He is seen as a "force multiplier."

“It provides comfort that there are only two main alliance partners (with the BJP), of which Chandrababu Naidu is viewed as an extremely progressive, forward-looking politician and even when it comes to Nitish Kumar, if he wants to keep his prospects bright in Bihar, he would want the state to develop and prosper,” an industry body spokesperson told ET on condition of anonymity.

The new alliance system would probably demonstrate a more "uniform distribution" of tasks to different states, the individual said.

“We are hopeful that projects will be more evenly distributed amongst states. Now, with the BJP coming into power in Odisha, and the state sharing a border with Andhra Pradesh and with its proximity to Visakhapatnam, it is possible that those areas could see a lot more industrial investment flowing in,” the person said.