Govt Cancelled Tenders Worth Rs 30,000 Crore To Promote ‘Make In India’ Products: Find Out Why
Government tenders worth about Rs 30,000 crore were cancelled due to discriminatory practices being followed, a top official said on Monday, February 17, 2020.
Restrictive and discriminative tender practices have been preventing the participation of domestic companies in government procurement, thus causing harm ‘Make in India’ initiatives.
Story of ‘MAKE IN INDIA’!
The Department for Promotion of Industry and Internal Trade (DPIIT) is taking action for effective implementation of public procurement order, 2017, to promote ‘Made in India’ products. The government issued the order on June 15, 2017, to promote manufacturing and production of goods and services in India aiming to enhance income and employment in the country.
Under the Public Procurement (Preference to Make in India) Order, it was expected that all central government departments, their attached or subordinate offices, and autonomous bodies controlled by the Government of India should ensure that purchase preference be given to domestic suppliers in government procurement.
DPIIT Secretary Guruprasad Mohapatra said, “The government has taken many initiatives like Make in India, ease of doing business, investor facilitation, FDI reforms, new infrastructure creation and various outreach programmes to increase share of manufacturing in GDP and create 100 million jobs by 2024.”
The DPIIT secretary had said government departments and public sector companies should give opportunities and priority to the local players.
Promotion of Indian Goods and Services by the Government of India!
On numerous occasions DPIIT, has intervened to change conditions in those tenders to promote ‘Made in India’ goods.
Mohapatra said, “Many of the restrictive and discriminative tender practices have been identified. Almost Rs 30,000 crore (worth) of tenders have been cancelled because of discriminatory practices.”
He added saying, the vigilance cases have been ordered by the Central Vigilance Commission wherever the department felt that a tender has been floated deliberately with a mala fide intention to deny a level-playing field to an Indian player.
Meanwhile, Commerce and Industry Minister Piyush Goyal, meanwhile, asked the industry to look for ways to expand the country’s export by adding more value-added products and cut shipments of raw materials. He said the country’s export basket was changing but it was not changing at a fast pace. He asked DPIIT and the department of commerce to identify sectors where India has competitive advantage and where the Indian industry can see business opportunities.
In the Union Budget 2020, Finance Minister Nirmala Sitharaman has significantly increased the allocation for the Make in India initiative.