PIB Summary - 19th August 2025 | PIB (Press Information Bureau) Summary - UPSC PDF Download

Made in India Label Scheme

Context and Background

• COVID-19 impact (2020): The pandemic disrupted supply chains, prompting India to focus on self-reliance through initiatives like the Atmanirbhar Bharat Abhiyan.
• Make in India (2014): This initiative aimed to establish India as a global manufacturing hub by promoting investment, innovation, and infrastructure development.
• Vocal for Local (2020 onwards): This movement encouraged consumers and the government to prioritize Indian-made products, fostering domestic industries.
• Made in India Label (2025):. forthcoming branding and certification initiative designed to unify India’s manufacturing identity under a global-quality standard, ensuring recognition for Indian products.

Core Features of the Scheme

• Voluntary Certification: The scheme offers voluntary certification for manufacturers and producers, ensuring authenticity and quality.
• QR-coded Labels and Logo: Products will feature QR-coded labels and logos that provide essential information, including:
• Product Origin: Details about where the product originates.
• Place of Manufacturing: Information on where the product is manufactured.
• Certification Validity: The validity period of the certification.
• Product-specific Details: Additional information specific to the product.
• Administration: The scheme is administered by the Department for Promotion of Industry and Internal Trade (DPIIT), with advisory support from the Quality Council of India (QCI) and the India Brand Equity Foundation (IBEF).
• Funding: The initial funding for the scheme is ₹995 crores for the first three years, with a plan for it to become self-sustaining in the future.

Objectives

• Authentic Identity: To provide a genuine identity to products originating from India.
• Global Differentiation: To set Indian products apart in global markets.
• Consumer Confidence: To enhance consumer trust through product traceability and quality assurance.
• Domestic Strengthening: To bolster domestic industries and improve their competitiveness in exports.
• Global Branding: To create a global brand image for India, akin to renowned labels like Made in Germany or Made in Japan.

Eligibility and Certification Process

Eligibility: Products must be either wholly or substantially manufactured or assembled in India and comply with industry-specific quality and regulatory standards.

Certification Process:

• Online Application: Interested manufacturers can apply online through the official portal.
• Document Submission: Required documents and product details need to be submitted along with the application.
• Verification: The submitted information will be verified by the concerned authorities.
• Approval: Once verified, the certification will be granted, allowing the use of the Made in India label.

Key Provisions

• Minimum Value Addition:. minimum value addition of 50% is required, although industry-wise exceptions may be considered.
• Pilot Sectors: Sectors have been identified for the pilot phase based on standards, local trade value addition, and consultations with stakeholders.
• Phase-wise Expansion: The scheme will be gradually expanded to include more industries and products over time.
• Enterprise Onboarding: Enterprises can onboard onto the Made in India portal with a simplified experience.
• Quality Audits: Random Quality Conformity Assessments will be conducted to ensure the credibility of the scheme.

Integration with National Development Vision

SMART Nation Vision: The scheme is aligned with the SMART Nation vision, which focuses on:

• Sustainability: Promoting sustainable manufacturing practices.
• Manufacturing Capability: Enhancing the manufacturing capabilities of the nation.
• Atmanirbharta: Strengthening self-reliance in various sectors.
• Rating: Improving global competitiveness ratings.
• Technology: Fostering technological advancements in manufacturing.

Global Quality Infrastructure Index 2023: India’s ranking of 10th in the Global Quality Infrastructure Index 2023 reflects the country’s strong metrology, standardisation, and accreditation framework, which supports the implementation of the Made in India Label Scheme.

Sectoral Case Studies

Steel (2023): Two integrated steel producers adopted the Made in India branding, leading to enhanced global positioning, credibility, and customer trust.

Textiles (2024):. Memorandum of Understanding (MoU) between the Quality Council of India (QCI) and the Khadi and Village Industries Commission (KVIC) aimed at integrating branding and quality standards in Micro, Small, and Medium Enterprises (MSMEs), facilitating the globalisation of Khadi and village industries.

Electronics (2024): Amendments to the Legal Metrology (Packaged Commodities) Rules introduced QR-based declarations on electronic goods, promoting transparency and consumer trust in the electronics sector.

Roadmap for Success

Pilot Sector: Initiating the scheme in a pilot sector to address framework definitions and pain points.

Phase-wise Rollout: Gradually expanding the scheme across various industries.

Infrastructure Development: Establishing legal, technical, and marketing infrastructure to support the scheme.

Financial Outlay: The financial outlay of ₹995 crore will cover:

• Programme team costs.
• Technology expenses.
• Marketing and Information, Education, and Communication (IEC) campaigns.
• Legal consultation fees.
• Redressal mechanisms.

Future Aim: Establishing a self-sustaining ecosystem for branding Indian products globally.

Strategic Importance

Economic: The scheme supports Micro, Small, and Medium Enterprises (MSMEs) and large-scale manufacturers, enhancing export competitiveness and reducing import dependence by fostering domestic consumption.

Consumer: It builds trust and pride in Indian products by providing transparency and authenticity checks to consumers.

Diplomatic/Global: The initiative enhances India’s credibility as a manufacturing hub and competes with established country-of-origin labels like Made in Italy and Made in Japan.

Social: The scheme strengthens employment in domestic sectors such as agriculture, fisheries, textiles, electronics, and steel, aligning with the Atmanirbhar Bharat initiative for socio-economic independence.

Challenges Ahead

• Ensuring uniform adoption of the label across diverse industries with varying capacities and standards.
• Preventing misuse or counterfeiting of the Made in India label to maintain its integrity and trustworthiness.
• Balancing stringent quality benchmarks with the ease of compliance for Micro, Small, and Medium Enterprises (MSMEs) to encourage participation.
• Creating international acceptance of the Made in India label amidst global competition and established country-of-origin labels.
• Avoiding overlap with existing certification schemes like ISI, Hallmark, and BIS standards to prevent confusion and enhance clarity.

Conclusion

•  The Made in India Label Scheme serves as both an economic strategy and a soft power tool, integrating the concepts of Atmanirbhar Bharat (self-reliance) and Make in India (manufacturing hub vision). 
• It aims to provide India with a cohesive national brand identity in manufacturing, similar to successful global peers. 
• The success of the scheme will hinge on effective quality enforcement, building consumer trust, including MSMEs, and achieving international recognition. 

Logistics: India’s growth engine

 Understanding Logistics 

Definition: Logistics involves managing the flow of goods, services, and information from where they originate to where they are consumed.

Components of Logistics:

• Transportation: Moving goods from one place to another.
• Warehousing: Storing goods until they are needed.
• Inventory Management: Keeping track of the quantity and location of goods.
• Packaging: Preparing goods for transport and storage.
• Distribution: Delivering goods to their final destination.
• Last-Mile Delivery: The final step of delivering goods to the end customer.
• Digital Tracking: Using technology to monitor and manage the logistics process.

Role of Logistics in the Economy:

• Logistics connects producers with consumers, both domestically and globally.
• It helps reduce costs, improve efficiency, and ensure timely delivery of goods and services.
• Logistics is the backbone of various sectors, including trade, industry, e-commerce, agriculture, and services.

Relevance: This topic is relevant to GS Paper 3, which covers infrastructure-related issues.

India’s Logistics Landscape

Contribution: The logistics sector in India employs over 22 million people and plays a crucial role in job creation.

Valuation: The logistics industry was valued at USD 215 billion in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 10.7% until 2026.

Infrastructure Status: In 2017, the logistics sector was granted infrastructure status, which facilitates cheaper and long-term funding for projects such as roads and railways.

GDP Link: Logistics costs in India account for approximately 13-14% of the GDP, compared to 8-10% in developed countries. Reducing this to less than 10% by 2030 is a policy objective.

Recent Growth Drivers: The growth of the logistics sector has been driven by post-COVID recovery, the implementation of the Goods and Services Tax (GST), the boom in e-commerce, and various government reforms.

Key Government Initiatives

(a) Policy & Planning

National Logistics Policy (2022):

• Aim: To create a seamless logistics ecosystem that reduces costs and enhances global competitiveness.
• Tools: Introduction of the Unified Logistics Interface Platform (ULIP) and the Logistics Data Bank (LDB) for better logistics management.

PM GatiShakti National Master Plan (2021):

• Focuses on integrated multi-modal infrastructure, including rail, road, ports, airways, and digital infrastructure.
• Involves collaboration among 57 central ministries and all state governments on a comprehensive data-layer platform.

LEADS Report (annual):

• Tracks state-level logistics performance.
• Guides policy decisions to improve logistics efficiency at the state level.

(b) Infrastructure Projects

• Dedicated Freight Corridors (DFCs): These are high-capacity freight corridors aimed at reducing congestion and improving freight efficiency.
• Eastern DFC (EDFC): Connecting Ludhiana to Sonnagar, covering 1337 km.
• Western DFC (WDFC): Connecting Jawaharlal Nehru Port Trust (JNPT) to Dadri, covering 1506 km.
• By March 2025, 96.4% of these corridors are expected to be operational.
• Benefits of DFCs: Reduced congestion, lower transportation costs, and energy-efficient freight movement.
• Multi-Modal Logistics Parks (MMLPs): These parks integrate various logistics functions, including warehousing, storage, and transport hubs, facilitating seamless logistics operations.
• Approved Locations: 35 locations across India, including Chennai, Bengaluru, Nagpur, and Indore.
• Operational Timeline:. MMLPs are expected to become operational by 2027.

Maritime Amrit Kaal Vision 2047:

• A long-term roadmap for enhancing India’s maritime sector, including ports, green shipping initiatives, hydrogen hubs, coastal tourism development, and shipbuilding industries.
• Investments: ₹10 lakh crore committed at the Global Maritime India Summit (GMIS) 2023 for maritime sector development.

Inland Waterways:

• Record cargo movement of 145.5 metric tonnes (MT) in 2024-25.
• Increase in operational waterways from 24 to 29, enhancing inland water transport capacity.

(c) Digital Reforms

• Unified Logistics Interface Platform (ULIP):. digital platform that integrates various logistics-related databases to facilitate better logistics management.
• API Transactions: The platform has crossed 100 crore API transactions, enabling real-time tracking, estimated times of arrival (ETAs) for shipments, and inventory planning.
• Logistics Data Bank (LDB): Tracks export and import (EXIM) cargo, with 75 million containers traced by October 2024, improving visibility and efficiency in EXIM logistics.
• E-Way Bill (2018 onwards):. digital permit for goods valued over ₹50,000, aimed at eliminating paperwork, increasing compliance, and reducing delays in goods movement.
• Goods and Services Tax (GST) (2017): The implementation of GST removed interstate check-posts, leading to improved transit times by 33%, reduced costs, and enhanced logistics efficiency.

(d) Skill Development

• Gati Shakti Vishwavidyalaya (GSV): The first university in India dedicated to logistics and transport education.
• Industry Partnerships: GSV has partnered with over 40 industries and institutions to ensure relevant and practical training.
• Goal: To train skilled manpower to meet the growing logistics needs of India.

Sustainability in Logistics

• Freight GHG Calculator:. tool to track greenhouse gas emissions for different freight transport modes, helping businesses choose greener options.
• Rail Green Points:. service that helps customers measure carbon savings when using rail transport instead of road transport.
• Goal: Increase the share of rail freight from 35-36% to 45% by 2030 to promote environmentally friendly transport.
• Digital Platforms: Platforms like ULIP and LDB assist businesses in selecting greener transport modes, contributing to sustainability efforts.
• Coal Logistics Plan:. plan promoting the shift to rail-based movement for coal logistics to reduce carbon footprint.

India’s Global Position

• World Bank’s Logistics Performance Index (LPI) 2023: India ranked 38th out of 139 countries, improving by 6 places since 2018.
• Goal: To enter the top 25 countries in the LPI by 2030.
• Comparison of Logistics Costs:
• India: Logistics costs account for 13-14% of GDP.
• China: Approximately 8-9% of GDP.
• Germany and Japan: Around 7-8% of GDP, with highly efficient multimodal logistics networks.

Employment & Economic Impact

• Employment: Currently, the logistics sector employs 22 million people, with the potential to generate millions more jobs through infrastructure projects, Multi-Modal Logistics Parks (MMLPs), and Dedicated Freight Corridors (DFCs).
• Exports: Reduced logistics costs contribute to more competitive global trade, enhancing India’s export capabilities.
• Domestic Impact: Improvements in logistics efficiency lead to better availability of goods, lower consumer prices, and strengthened value chains for Micro, Small, and Medium Enterprises (MSMEs) and the agriculture sector.

Challenges

• High Logistics Costs: Logistics costs in India are around 13-14% of GDP, which is significantly higher than in developed countries.
• Infrastructure Gaps: There are notable infrastructure deficiencies in Tier-2 and Tier-3 cities, which hampers logistics efficiency.
• Over-reliance on Road Transport: Approximately 60% of logistics rely on road transport, leading to congestion and higher emissions.
• Complex Regulatory Environment: Despite the implementation of GST, the regulatory environment across different states remains complex, affecting logistics operations.
• Skill Gaps: There is a shortage of skilled workforce in the logistics sector, which impacts operational efficiency.
• Digital Adoption: Smaller enterprises lag in digital adoption, hindering their logistics operations and efficiency.

Way Forward

• Expand Multimodal Integration: Enhance the integration of various transport modes, including rail, water, and air, to improve logistics efficiency.
• Strengthen Inland Waterways: Invest in developing inland waterways as a cost-effective and eco-friendly transport option.
• Invest in Green Logistics: Promote green logistics initiatives such as electric vehicle (EV) trucks, hydrogen hubs, and increased rail freight to reduce carbon footprint.
• Encourage Private Investment: Attract private investments in Multi-Modal Logistics Parks (MMLPs), warehouses, and cold chain facilities to enhance logistics infrastructure.
• Improve Last-Mile Connectivity: Focus on enhancing last-mile connectivity in rural and semi-urban regions to ensure efficient delivery.
• Promote Skill Development: Foster skill development in the logistics sector through initiatives like the Gati Shakti Vishwavidyalaya and other logistics skilling programs.
• Reduce Logistics Costs: Aim to bring down logistics costs to less than 10% of GDP by 2030 to enhance competitiveness.

Conclusion

• Logistics is a critical backbone for India’s trade, industry, and overall economic growth.
• It is not just about the “movement of goods” but about creating “movement of opportunities.”
•  With initiatives like the National Logistics Policy, Gati Shakti, Dedicated Freight Corridors, Multi-Modal Logistics Parks, and digital advancements, India is on a path to becoming a top logistics performer globally by 2030. 
•  A robust logistics ecosystem is vital for achieving the $5 trillion economy goal by 2027 and the Viksit Bharat vision by 2047.