Indian economy is growing rapidly but India is still suffering from a lot of problems. Unemployment is perhaps the biggest challenge for the Indian economy now and there is hardly any hope for millions of Indians. India is shining in outsourcing and there is nothing bad in it. However, IT can never create enough jobs for more than 1 billion people. Good thing is that Indian government is finally realizing the importance of manufacturing sector. The Hindu reported:
“India is seeking major investments in the manufacturing sector as a part of its effort to take the benefits of development to the poorest of the poor, Minister of State for Industry Ashwani Kumar said.
One job in manufacturing creates three jobs in the service sector, Kumar said stressing that it is important for uplifting the poor which is one of the goals of Prime Minister Manmohan Singh's Government.
Speaking at a meeting with entrepreneurs and lawyers organized at the Indian Consulate here yesterday, Kumar said that the government is trying to put on fast track the litigation which affects the investors.
India is expected to have a 1.2 trillion dollar economy in the next seven to 10 years, Kuamar said adding the aim is that the manufacturing sector, which contributes around 10 per cent to the economy, should expand its share to 25 per cent.”
Lofty goal indeed! Of course, I am very happy that Indian government is now becoming serious about the manufacturing sector. However, Indian decision makers need to realize the matter that to get good success in the manufacturing sector, India needs to improve its infrastructures very fast.
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