"Chandrajit Banerjee Offers a Blueprint for Bolstering India's Competitiveness: A Guided Reformation Strategy"

The Confederation of Indian Industry (CII) has unveiled a comprehensive report titled "Policies for a Competitive India," which offers over 250 actionable recommendations aimed at enhancing the country's competitiveness, fostering growth, and creating jobs. The report aligns with the government's vision of a "Viksit Bharat," or developed India, by 2047.

The report, led by the CII's Director-General, emphasizes the need for a consultative policymaking framework and the establishment of two high-level expert committees: the "National Consensus Committee on Reform Policy" and the "Expert Advisory Panel on Policy Framework."

In the realm of manufacturing and MSMEs, the report suggests targeted capital support for mid-sized projects, the development of new industrial cities along planned industrial corridors, and the acceleration of freight corridor development to strengthen India's manufacturing competitiveness. For MSMEs, the report recommends phased compliance exemptions, a strengthened Udyam portal, vouchers for upskilling workers, and a second-tier patent system.

Tax and trade policies are another focus area. The report proposes a medium-term roadmap towards GST 2.0, including rate rationalisation, the inclusion of petroleum and electricity under GST, and streamlined customs procedures to simplify India's tax architecture. For trade, a three-tier MFN tariff structure and a strategic approach to Free Trade Agreements are recommended.

Sustainability, employment, and urban reforms are also highlighted in the report. Industry integration into India's climate adaptation plans, expanding green procurement, providing businesses with open access to digitised climate data, a National Employment Policy, a framework for the gig economy, targeted job programmes in the bottom 100 districts, the creation of a National Urban Planning Authority, digitised property taxes, investments in affordable housing and transport are among the recommendations.

Energy reforms are crucial for reliable, affordable, and clean power. The report proposes a GST-like Power Council to harmonise tariffs, the elimination of cross-subsidies that burden industry, competitive choice in electricity distribution, and a roadmap for green hydrogen adoption.

Factor market reforms are also addressed. The report proposes expanding the India Industrial Land Bank into a full allotment and approval portal, standardising stamp duties, and guaranteeing land titles. Uniform adoption of new labour codes across states, a national minimum wage linked to living costs, and digital dispute resolution systems are recommended for labour.

The report also emphasises measures for macroeconomic stability, public sector reform, and simplifying regulation. Significantly, it suggests the establishment of a Central Tribunal Authority, the expansion of commercial courts, the promotion of arbitration and mediation councils, and a strengthened judicial data grid to accelerate case resolution.

The report underscores the importance of India's free trade agreements with advanced economies in the rapidly transforming global trade landscape, which is becoming increasingly fragmented and regional.

The CII report serves as a living blueprint, one that will continue to evolve with fresh ideas and insights in step with global and domestic realities. India, over the past decade, has witnessed a series of historic reforms, and this report lays a solid foundation for growth and resilience.

"Chandrajit Banerjee Offers a Blueprint for Bolstering India's Competitiveness: A Guided Reformation Strategy"