India will demand foreign firms use more locally produced materials when working on government-run projects, a government order said late on Friday.
Indian authorities have been aggressively promoting Prime Minister Narendra Modi’s flagship campaign of a self-reliant economy by urging domestic manufacturers to cut down on imports.
The Indian trade ministry’s Department for Promotion of Industry and Internal Trade (DPIIT), ordered all government administrative divisions to notify it of projects valued above 10 billion rupees ($135.96 million) that are planned for the next five years.
DPIIT has still to announce the new local content requirement threshold for foreign firms entering into partnerships for state-run infrastructure projects. The threshold is currently 20-50%.
