India Adapts to 'Aatmanirbhar 2.0' Amid West Asian Conflict Disruptions to Global Supply Chains
Detailed Analysis
India Reworks Self-Reliance Framework Amid Global Disruptions
India is reworking its self-reliance framework in response to global disruptions triggered by the conflict in West Asia, with Prime Minister Narendra Modi asking ministries and departments to evaluate the evolving situation and prepare both short-term and long-term, sector-specific plans aimed at reducing import dependence while ensuring uninterrupted access to essential supplies.
The renewed push builds on measures introduced during the Covid-19 pandemic under the Aatmanirbhar initiative, which focused on boosting domestic capacity and cutting reliance on imports. A key pillar of what is being seen as Aatmanirbhar 2.0 is the expansion of green energy, nuclear power, and thermal capacities to lower dependence on oil and gas imports.
The strategy follows a series of high-level reviews, including meetings of the Cabinet Committee on Security (CCS), to assess the impact of the Gulf conflict and the closure of the Strait of Hormuz. The CCS, chaired by the Prime Minister and comprising the defence, home, external affairs, and finance ministers, was expanded to include additional members for these discussions.
India remains reliant on imports in several areas, including chemicals, fertilizers, industrial inputs, rare earth elements, and advanced machinery. Ministries have been tasked with mapping these dependencies and drawing up strategies to address them.
| Sector | Import Dependence (%) | | --- | --- | | Chemicals | 80 | | Fertilizers | 60 | | Industrial Inputs | 70 | | Rare Earth Elements | 90 | | Advanced Machinery | 85 |
Note: The import dependence percentages are hypothetical and not provided in the original text. However, the table format is used to present comparisons in a clear manner. The actual import dependence percentages should be obtained from reliable sources.
