Department for Promotion of Industry and Internal Trade (DPIIT) earlier known as DIPP

The Department of Industrial Policy & Promotion (DIPP) was renamed as the Department for Promotion of Industry and Internal Trade (DPIIT) in 2019.  The idea behind the rechristening of the DIPP is to include internal trade in its ambit. An important topic from the context of both Indian Polity and Economics subjects, aspirants should know the relevant facts about the DIPP for the IAS Exam.

Aspirants can read similar articles related to Indian Polity and Economics from the links mentioned in the table below:

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Department for Promotion of Industry and Internal Trade (DPIIT)

After Internal Trade was added to the mandate of DIPP, the department was renamed as the Department for Promotion of Industry and Internal Trade (DPIIT). Administered by the Ministry of Commerce and Industry, it is a nodal Government agency with a responsibility to formulate and implement growth strategies for the Industrial Sector along with other Socio-Economic objectives and national priorities.

Why the New Mandate? 

For a long time, the Confederation of All India Traders Association (CAIT) was demanding a separate Ministry of Internal Trade. The creation of a separate department by merging internal and external trade is a step forward in the creation of a separate Ministry.

Role and Functions of DPIIT

Established in 1995, DIPP was mandated with the overall industrial policy formulation and execution, whereas the individual ministries take care of the specific industries’ production, distribution, development, and planning aspects. 

From the regulation and administration of the industrial sector, the role of the Department has been transformed into facilitating investment and technology flows and monitoring industrial development in the liberalized environment.

  • Industrial Policies
    • Formulating and implementing Industrial Policy in India introduced by the Government. Formulating and implementing strategies necessary for developing industries in compliance with development and National objectives.
    • Monitoring the industrial growth, in general, and performance of industries specifically assigned to it, in particular, including advice on all industrial and technical matters.
  • Foreign Direct Investment (FDI)
    • Formulating, promoting, and facilitating policies of Foreign Direct Investment (FDI).
    • Encouraging collaborators at an enterprise level and formulating policy parameters for Foreign Technology.
  • Intellectual Property Rights
    • Formulating policies related to Intellectual Property Rights.
    • These policies are related to the following fields:
      • Industrial Designs
      • Patents and Trademarks
      • Geographical Indications of Goods
    • Administrating the rules and regulations made under the Administration of Industries Act of 1951.
  • Promoting industrial development of industrially backward areas and the North Eastern Region including International Co-operation for industrial partnerships and
  • Promotion of productivity, quality, and technical cooperation.

Make in India and Startup India

Make in India

Make in India is a government scheme launched in 2014 with an intention to boost the domestic manufacturing sector and also augment investment into the country. 

  • The government wants to revive the lagging manufacturing sector and spur the growth of the economy. The GOI also intends to encourage businesses from abroad into investing in the country and also manufacture here, by improving the country’s ‘Ease of Doing Business’ Index.
  • The long-term vision is to gradually develop India into a global manufacturing hub, and also boost employment opportunities in the country.

Click on the link to learn more about Make in India.

Startup India

The major objective of Startup India is to discard some of the restrictive Government policies which include:

  1. License Raj
  2. Land Permissions
  3. Foreign Investment Proposals
  4. Environmental Clearances

The Startup India scheme is based majorly on three pillars which are mentioned below:

  • Providing funding support and incentives to the various start-ups of the country.
  • To provide Industry-Academia Partnership and Incubation.
  • Simplification and Handholding.

Click on the link to learn more about Startup India.

Programmes and Schemes of DPIIT

The below points mentions the programmes and schemes run under DPIIT:

  1. Transport Subsidy Scheme (1971) –  It was initiated to develop industrialization in the remote, hilly, and inaccessible areas. It has been discontinued since 2016.
  2. North East Industrial and Investment Promotion Policy (NEIIPP), 2007
  3. North East Industrial Development Scheme – Initiated on 1st April 2017 and will run till 30th March 2022.
  4. Industrial Development Scheme 2017 – A recent amendment was made considering the Union Territory of Jammu & Kashmir and Ladakh; the scheme will run till 31st March 2021. The amendment also defined the ‘New Industrial Unit.’
  5. For infrastructure development, the Delhi Mumbai Industrial Corridor (DMIC) project was approved in 2007. Similarly, other industrial corridors are taken up.
  6. The DPIIT takes up GI promotion activities. The department has notified 370 GI applications as of August 2020.

Aspirants can practice Indian Polity and Economics old questions asked in UPSC Mains from the links mentioned below:

  1. Polity Questions for UPSC Mains
  2. Economics Questions for UPSC Mains GS 3

DPIIT – UPSC Notes:- Download PDF Here

Related Links
Polity Notes for UPSC Polity MCQs
Important Terms Related to Union Budget Union Budget 2020
Index of Industrial Production (IIP) Consumer Price Index (CPI)


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