The plan, which also draws on the existing motivational programs and the programs of the development of infrastructure associated with the incentive (PLI), includes a close coordination between the center and the states, officials said on condition of anonymity.
They added that the idea is to align the efforts of states with national priorities, solve narrow places in local politics and strengthen the total ecosystem of production and supply chain in the country because the country is trying to increase the annual influx of direct foreign investment to more than $ 100 billion in the next few years currently $ 80 billion.
So what is the plan?
The first step in the first step coordinating the trade and industrial trade unions coordinating India investment, the highest support agency for support and facilitating the country’s investment, identifies key value chains and industries that require targeted intervention.
“We map sectors and value chains where India can play a larger role and then approach global companies operating in these areas to bring investments,” the first official said above.
“We are working at both state and central levels to provide all possible facilitation that investors require,” the second official said.
According to these officials, the center focuses on sectors such as the design and production of the electronic system (ESDM), chemicals, toys and shoes-especially shoes, where leading companies showed great interest in connecting to the India supplier chain.
Especially in the toy sector, several global companies have launched discussions on the establishment of production foundations in India, which are drawn by government incentives and expanding domestic markets, the other person said without nameing companies planning to invest in these sectors.
States include Maharashtra, Tamil Nadu, Andhra Pradesh, Gujarat, Karnataka, Uttar Pradesh, Delhi, Madhya Pradesh and Odisha.
Questions E -mail E -mail for Trade and Industry, headed by this initiative at the head, remained unanswered until the press time.
Vivek Singhal, CEO (CEO) of BidSO, manufacturer of B2B outdoor toys, said that the influx of direct foreign investments can lead to doubling the production units, accepting advanced production technologies and shifting from imports on domestic production.
“India now produces 88% of toys sold on the domestic market and has a unique opportunity to become a production powerhouse and the champion of its rich heritage in traditional toys,” Singhal said. “We are in contact with brands that lead design and innovations such as Buffalo Games and Chillafish to move our orders to India.”
Here’s more details
The Ministry of Industry and Internal Trade (DPIIT), which falls under the Ministry of Trade Union, is tasked with investing India with identification of global investors, with states to make the necessary changes in political framework to provide a better investment ecosystem and organization in different countries.
DPIIT coordinates with other ministries of the line, such as the Ministry of Electronics and Information Technology (Meity), Food Processing, Textiles and heavy industry. To alleviate visas for investors, DPIIT cooperates with ministries of domestic matters and external matters.
Jan Vishwas Bill 2.0, aimed at decriminalizing several acts, was also introduced to encourage investors by improving the overall ecosystem. The bill is given for presentation in the ongoing monsoon meeting and is probably submitted during the current meeting of the parliament, according to the above officials.
Adding dynamics to existing initiatives
The center already offers financial support to attract investments and build more resistant supply chains within the industry – an example is PLI scheme for electronic components managed by Meity.
The latter official pointed out that in addition to the procedural framework set out in the framework of press notes 3, which regulates direct foreign investments from countries sharing land boundaries with India, there are minimal regulators for foreign money to come to the country.
In 2019 and 2024, the government took further liberalization measures, including a permit by 100% of direct foreign investments under the automatic route in coal mining, contractual production and insurance intermediaries. In the 2025 budget, the Union proposed an increase in the FDI limit for insurance companies from 74% to 100% if they invest their entire premium income in the country.
Indian numbers of direct foreign investment
India attracted direct foreign investment (FDI) worth $ 81.04 billion in FY25, which meant 14% jump from the previous year, data from the Ministry of Commerce. The service sector proved to be the best recipient of the FDI capital, which represents 19% of the total, with an investment rising almost 41% to $ 9.35 billion in FY25 from $ 6.64 billion a year earlier.
This was followed by a computer software and hardware sector, which attracted 16% of the tides, and the business sector, with an 8% share. Indian cumulative influx of direct foreign investments over the past eleven years (2014-25) has reached $ 748.78 billion, which is 143% increase in the previous eleven (2003–14), which recorded $ 308.38 billion. The number of countries investing in India also increased to 112 in FY25, compared to 89 in FY14.
According to data shared by Foreign Minister for Finance Pankaj Chaudhary in Lok Sabha 10. March reached the inflow of direct foreign investment in India. Then the numbers decreased to $ 71.35 billion in FY23 and $ 71.27 billion in FY24, after uncertainty about the potential global recession, the economic crisis caused geopolitical conflicts and the growing global protectionist measures.
(Tagstotranslate) FDI Drive
