by Dhanuja T from School of Excellence in Law, Chennai


Atmanirbhar Bharat Abhiyan also known as Self Reliant Nation was introduced and announced for the first time in India during the time of Covid-19 pandemic on May 12, 2020. There is a falling economy during this pandemic and in order to bring the economy to normal situation the project was introduced by our Honourable Prime Minister Narendra Modi. An economic package of Rs.20 Lakh crores was also announced for achieving the aim of the project.

Self-reliant India:

The aim of this scheme is to make our country independent against the tough competition in the global supply chain. Our prime minister advocates that the products which are helping us during this unprecedented crisis like pandemic are our own products. The globally imported products are local once but we used it more and promoted it. Thus it is branded. So the task before us now is to use and promote our local products and be vocal for the locals and make it  a brand. Indian government is looking at social media platforms to promote their official campaigns rather than traditional media ads this time. Thus the government will be giving ads to social media platforms that have a minimum of 25 million unique users from India in the last 3 months. Many misunderstood that a self-reliant nation is some campaign against the other countries. In order to that The meaning of self-reliant India is cleared by the finance minister Nirmala Sitharaman as it is not cutting out from the rest of the world and it is self-dependency.

Make in India 1.0:

The make in India scheme was first announced on September 25, 2014 by our honourable Prime Minister Narendra Modi to encourage companies to manufacture their products in India and transform India into a global design and manufacturing hub. It is a carbon copy of United progressive Alliance’s 2011 manufacturing policy. Following this, states also launched local initiatives such as “Make in Odisha”, “Tamil Nadu Global Investors Meet”, “Happening Haryana”, “Vibrant Gujarat” and “Magnetic Maharashtra”. However, Make in India 1.0 was a failure and the GDP was dropped. But still the mission is in progress.

Tejas is a made in India fighter jet. In order to initiate the Atmanirbhar Bharat Abhiyan the Indian Air Force switched to local warplane Tejas.

What are the main pillars of the mission?

It focuses on 5 pillars. They are:

  1. Economy:

Ensuring a small financial system and increasing cash in hand with an economic package announced worth 10% of GDP. Hence by liquidity injection and fiscal stimulus, the government can aim monetary development. 

  1. Infrastructure:

Ensuring infrastructure for people mobility, freight transport, power, water or industries with special consideration which is fit for a modern India is also necessary.

  1. Technology driven System:

Ensuring technologies with higher efficiency is necessary. The technology and system should be the one needed in the 21st century and not the one existing in the 20th century.

  1. Vibrant Demography:

India is the second largest populous country in the world with nearly fifth of the world’s population. In this way, India is capable with enough human resources. Ensuring their skill development and encouraging MSME’s the mission of the self-reliant India can be easily achieved.

  1. Demand and supply chain:

Full utilisation of power of the demand and supply should be practiced. Supply chain reforms for agriculture should be strengthened. Encouraging use of local products and local brands is required. Self-reliance will prepare India for tough competition in the global supply chain.

20 lakh crores package breakup:

The overall packages consist of three primary components. They are:

  • A set of measures taken by the government before MODI’s speech on May 12
  • The reserve bank of India’s liquidity measures over the last two months 
  • The five tranches announced by Nirmala Sitharaman over the last few days.

Tranche -1:

The first tranche of the package focuses on a list of 15 measures. They are

  1. Rs.3 lakh crore automatic loans without any guarantee for business including MSME’s. 45 lakh units are likely to benefit through this.
  2. Rs.20, 000 crore subordinate debts for MSME’s will be provided after the facilitation of provision by the Centre. 2 lakh MSME units are likely to benefit.
  3. Rs.50, 000 crore to the MSMEs for investment from bank funded capital will be provided since MSMEs are facing severe shortage.
  4. The definition of MSME’s is revised as follows:
  • Micro enterprise: Company with investment of Rs 1 crores and turnover of Rs 5 crores.
  • Small enterprise: Company with Rs 10 crores investment and turnover of rs.50 crores 
  • Medium enterprise: Company with Rs 20 crores investment and Rs 100 crores as turnover.
  1. Indian MSME’s and other companies have often faced unfair competition from foreign companies. Therefore Global tenders will be disallowed in Government procurement tenders up to Rs 200 crores. Necessary amendments of general financial rules will be affected. This will be a step towards Self-reliant India and support Make in India. This will also help MSME’s to increase their business. 
  2. The Union Government and Central Public Sector Enterprises will honour each and every MSMEs receivable in the next 45 days and also an E-market linkage shall be provided instead of trade show, trade exhibition or trade expo.
  3. The payment of employees registered under Employees Provident Fund (EPF) is reduced to 10% from prevailing 12% for 3 months- June, July and August. This shall provide liquidity of Rs.6750 crore to employees and employers over a period of 3 months.
  4. The discount in payment for Employees Provident Fund Organisation (EPFO) for the months of June, July and August will provide liquidity relief of Rs.2500 crore to lakh 2.22 lakh employees.
  5. The centre will launch Rs.30, 000 crore special liquidity scheme for providing liquidity support for NBFC/HFCs/MFIs and mutual funds thereby creating confidence in the market.
  6. Partial Credit Guarantee Scheme (PCGS) 2.0 worth Rs.45, 000 crore is proposed to improve the liquidity for low rated shadow lenders and eased certain criteria for the pooled purchase of NBFC assets by state-run banks under PCGS 1.0.
  7. RS.90, 000 crore is allocated for the Distribution Companies (Discoms) across the country who have been under stress during this pandemic. Loans also will be provided to the Discoms against the guarantees by the respective state.
  8. The registration of real estate projects under RERA which is expiring on or after 25 March, 2020 shall be extended automatically by 6 months. Also if required it may be extended by further 3 months.
  9. 25% reduction in the rate of income tax deducted at source(TDS) and tax collection at source (TCS) from 14 may to 31 March, 2021, releasing liquidity of Rs.50,000 crore to provide more money in the hands of tax payers.
  10. The due date of all income tax return for fiscal year 2019-2020 shall be extended from 31 July and 31 October 2020 to November 30, 2020. Also in Vivad Se Vishwas Scheme, the period for making payment without additional payment will be extended to December 31, 2020.
  11. All central agencies including Railways, Ministry of Road, Transport and Highways, Central Public Works Department, etc. shall provide a contract extension of up to six months without cost to the contractor.

Tranche -2: 

The second tranche of the package focuses on 9 main measures as follows:

  1. Migrants: Allocation of food grain to all migrants in the states /UTs for two months for the month May and June 2020 free of cost. The food grains include 5 kg rice/wheat and 1kg chana per family per person for two months. This move is the extension of the Pradhan Mantra Gharib Kalyan Yojna. One nation one ration card will enable the migrant to access the Public Distribution System (PDS) from any fair rice shop in the country.  67 crore beneficiaries amounting to 83% of PDS Population will be covered and it will be achieved by March 2021. It is brought because most of the migrant workers registered in their home state are stuck in other states.
  2. Street vendors: A scheme will be launched to facilitate easy access to credit to street vendors and enable them to restart their businesses. Accordingly they will receive an initial working capital up to rs.10000 within a month. 
  3. Mudra Shishu Loan account holders: The loan borrowers under the scheme will have a problem after the completion of moratorium, because they still have to repay a huge amount. Hence in order to support them the government will offer a 2% interest subvention for a period of 12 months. Hence a total relief of Rs.1500 crore is estimated.
  4. Housing: Government funded housing will be converted into Affordable rental housing complexes (ARHC) under PPP Mode (Public Private Partnerships) and PM Awas Yojna for migrant workers and urban poor. 
  5. Farmers: Special drive to provide concessional credit to Pradhan Mantri Kisan Samman Nidhi (PM- KISAN) beneficiaries through Kisan Credit Cards. It will inject additional liquidity of Rs 2 lakh crore in the farm sector. By this 2.5 crore farmers will be benefitted. Agriculture fund will be created with financing facilities of Rs 1 lakh crore for funding agriculture infrastructure projects at farm gate and aggregation points. 
  6. Tribals: Employment for tribals in afforestation and plantation works using Rs. 6000 crores under Compensatory Afforestation Management & Planning Authority (CAMPA Funds) will be implemented.
  7. Pipeline: Universalization of right to minimum wages, timely payment, annual health check, occupational safety & hazard code, social security fund are emphasized.
  8. Labour: The current 44 labour laws are being reduced to just 4 labour codes and the bill is now presented before the parliamentary standing committee. It will be soon submitted for parliamentary approval.
  9. Middle class groups: The Credit Linked Subsidy Scheme (CLSS) for Middle Income Group (MIG) whose annual income between Rs 6 and Rs18 lakhs will be extended up to March 2021. According to the scheme 3.3 lakh middle income families have benefited.

Tranche- 3:

The third tranche includes 11 measures.

  1. A capital of Rs.1 lakh crore is allocated for strengthening the farm gate infrastructure by funding Agriculture Infrastructure projects, agriculture entrepreneurs and post-harvest management infrastructure.
  2. Rs.10,000 crore scheme promoting vocal for local with global outreach will be launched to help 2 lakh micro food enterprises who need technical up-gradation to attain Food Safety and Standards Authority of India (FSSAI) food standards, build brands and marketing.
  3. Rs.11,000 crore for marine and inland fisheries and Rs.9000 crore for infrastructure of fishing harbours, cold chain, markets etc. are allocated under PM Matsya Samada Yojana.
  4. Nearly Rs.13, 000 crores is allocated for the vaccination of cattle, buffalo, sheep goat & pig under the National Animal Disease Control Programme.
  5. Rs.15000 crore will be allocated to support private investment in dairy processing and cattle feed infrastructure under Animal Husbandry Infra Fund. 
  6. Rs.4000 crore funds are allocated to support the medical plant cultivation.
  7. Rs.500 crore is allocated to aid honey production; wax production, marketing and storage in the view of supporting the bee-keepers.
  8. Rs.500 crore is allocated for Operation Greens to be extended from, potatoes, to all fruits and vegetables.
  9. Amendment to Essential Commodities Act to enable better price realisation for farmers by making the agriculture sector competitive. 
  10. A central law will be brought by the government to provide marketing choices to farmers.
  11. Government will frame laws to enable farmers to engage with the processors and aggregators, large retailers, exporters in a transparent way. Farmers will be assured with returns and quality standardization as a part. 


The fourth tranche of package includes reforms in 8 sectors as follows:

  1. Coal sector: Coal sector for commercial auction with more liberal conditions will be unleashed. This will supplement the 1 billion tonne coal production likely from coal India in FY 23-24 and meet the full requirement of domestic thermal coal.
  2. Mineral sector: Joint Auction of various mineral blocks will be announced for competitiveness.
  3. Defence production: As the rising defence imports bill over the past two decades has constrained India’s strategic rise the goal of making the country self-reliant in defence production has been on the priority list of defence ministers especially after the 1999 Kargil war. Defence minister Rajnath Singh banned 101 foreign military products in the push for Atmanirbhar Bharat Abhiyan. And added that it would be progressively made between 2020 and 2024. Our aim is to appraise the Indian defence industry about the anticipated requirements of armed forces so that they are better reared to realise the goal of indigenisation.
  4. Civil aviation: 6 airports will be auctioned on a PPP basis and there would be investment in 12 airports by the private.
  5. Power sector: The power distribution companies in the UT will be privatised to bring efficiency in power distribution. And also will release a reformed tariff policy.
  6. Social infrastructure projects: The government will boost private sector investments in social infrastructure projects, like hospitals etc.
  7. Space sector: The private sectors will gain access to the space sector so that they can help in the development of the sector,
  8. Atomic energy: Establishment of research reactors for the medical isotopes of affordable cancer treatment and facilities for radiation technology will be performed.

Tranche- 5:

The fifth and last tranche of the package includes 7 measures as follows:

  1. Mahatma Gandhi national rural employment guarantee act (MNREGA)
  2. Health and Education
  3. Business an COVID -19
  4. Ease of doing business
  5. Decriminalisation of Companies Act
  6. Public Sector Enterprises
  7. State Governments and related


Everyone is facing an economic crisis due to this pandemic. This crisis will be far bigger even after the end of the pandemic. As a precaution of this awaiting economic crisis, the mission Atmanirbhar Bharat Abhiyan is introduced after a perfect research in every aspect.

“Our resolve should be bigger than the crisis”

                                           -Honourable Prime Minister Narendra Modi.





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