Niti Aayog to improve India's Penetration Into Global Value Chains

New Delhi: Niti Aayog is working on a programme to improve India's penetration into global value chains for growth of domestic micro, small and medium enterprises (MSMEs), CEO of the government think-tank B V R Subrahmanyam said on Wednesday.

Observing that MSMEs are more affected by regulations than large companies, he said the prime minister has taken a major step towards deregulation and a task force under the cabinet secretary is working on it. Subrahmanyam was addressing a gathering after launching 'the Digital Excellence for Growth and Enterprise', or 'Dx-EDGE', a platform to empower MSMEs with the tools, knowledge and ecosystem needed to become future-ready, competitive and resilient. Dx-EDGE is a national initiative spearheaded by CII with the support of NITI Frontier Tech Hub (NITI FTH) and All India Council for Technical Education (AICTE) to drive digital transformation across India's MSMEs.

The Niti Aayog CEO further said it is a fact that some of the big manufacturers have moved to India, and cited the example of mobile phones, terming it as a success story of the PLI (production linked incentive) initiatives. The other side of the story is, he said, that 95 per cent of what goes into mobile phone manufacturing is being imported. "...we are working on to get the ecosystem to India. Niti is working on a programme to improve India's penetration of global value chains.

To penetrate into global value chains, you need to have the ecosystem here, which means the intermediate routes. They are not final products. They go into some other product. Bulk of global manufacturing is of intermediate products. And who makes these intermediate products, largely MSMEs," Subrahmanyam said.

He also said the CII and NITI Frontier Tech Hub Dx-EDGE platform marks a transformative leap in India's digital journey, designed to empower MSMEs with cutting-edge technology and digital mastery.