Days ahead of Union Budget 2015-16, industry body FICCI has said that the biggest drag to the competitiveness in the country is infrastructure and the government should take step to resolve this issue.
Speaking to NDTV, FICCI's former president Naina Lal Kidwai said that though "productivity of our labour is very strong, bad infrastructure makes it longer to move products and this hampers our manufacturing competiveness". (Watch)
FICCI's current president Dr Jyotsana Suri also shared her views. "Even though we manufacture at a lower rate, the end product becomes more expensive because of the lack of connectivity and infrastructure," she said.
She added that finance minister Arun Jaitley in the Budget should rationalise subsidies and the savings from it could into infra-spending.
PM Modi had last year introduced 'Make in India' campaign with an aim to turn the country into a global manufacturing hub. It is the centrepiece of the PM Modi's plan to create more jobs and rejuvenate the economy.
Many industry leaders have opined that the success of this campaign depends on good infrastructure and ease of doing business in the country.
Earlier in the month, noted industrialist Rahul Bajaj had said that the country needs to improve basic infrastructure and ensure a favourable business environment for the success of Prime Minister Narendra Modi's ambitious "Make in India" programme.
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