New Delhi: Prime Minister Narendra Modi on Saturday stressed the need for a “robust mechanism” to meet demands of the world, responding fast to geopolitical changes, and asked the industry to suggest measures to build the same.
When the country is on a mission mode to make local the global, Mr Modi said, “we have to quickly react on all geo-political developments. A robust mechanism is needed to fulfil any sudden spurt in demand for global supply chains.”
The prime minister called for better coordination among industry organisations and the ministries of External Affairs and Commerce and Industry.
“I appeal to you to suggest measures how we can build a mechanism to quickly respond to global transformations,” Mr Modi said, without naming China.
He was delivering the keynote address at industry chamber ASSOCHAM’s foundation week through video conferencing.
Mr Modi said for building an Atmanirbhar India, government is emphasising manufacturing. “To encourage manufacturing, we have been constantly adopting reforms. For the first time more than 10 sectors have been brought into the ambit of efficiency and productivity based incentives,” he added.
Mr Modi also asked for greater allocations for research and development (R&D). World is heading towards another Industrial Revolution. The world is moving towards the 4th Industrial Revolution. Challenges will come in the face of new technology, and solutions will come as well. It is the time to both plan and act. We must associate every action to a larger goal of nation-building,” he said.
“More investment in R&D is badly needed in India. In countries like the US, private sector invests 70% of R&D, in India the same percentage is contributed by the public sector. A major portion of it is in IT, pharma and transport sector.
The need of the hour is to raise private sector participation in R&D. Each small and large company should fix a certain amount for investment in R&D in sectors like agriculture, defence, space, energy, construction,” he said.
Mr Modi said Indian companies need to adopt the best practices of the world from corporate governance to profit sharing.
“If we make our approach purpose-oriented along with the profit-centric approach, then more integration with the society will be possible,” he added.