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December 2014

Mohammad Anas Wahaj | 22 dec 2014

According to World Bank data for 2012, manufacturing as a percentage of Gross Domestic Product (GDP) for India is only 14.07%, while some of its neighbours like China (31.83%-2011 data), Sri Lanka (17.88%), Bangladesh (17.56%) and even Pakistan (14.47%), are ahead of it. On the other hand, two of its BRICS friends, China and Russian Federation (14.85%) are above, and two others, Brazil (12.95%) and South Africa (12.09%) are below it in their manufacturing activities. Although PM Narendra Modi's 'Make in India' campaign helps in providing focus and direction but a lot is desired and to be done on the ground by both the government and the private sector to uplift the lagging manufacturing sector. If the specific state-level data for current manufacturing activity is considered there is a clear disparity, with top 5 states accounting to 56% of the national manufacturing - Maharashtra (18.3%), Gujarat (12.8%), Tamil Nadu (9.9%), Uttar Pradesh (8.3%), Andhra Pradesh (6.4%). Barring a few exceptions like Gujarat, Himachal Pradesh and Odisha, the relative importance of manufacturing has been stagnant or have declined over time. Read on...

Livemint: The Make in India dream
Authors: Pramit Bhattacharya, Dipti Jain



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