CategoriesFocus Areas Ideas for GrowthThe Indian government aims to achieve USD 2 trillion total export by 2030, one trillion each in merchandise and services[1]. India also needs to create massive employment to tap into its underutilised workforce of ~12 crore people in the coming years[2]. In order to achieve these targets, we need to improve our manufacturing competitiveness and […]
CategoriesFocus Areas Ideas for GrowthExport-led economic growth has a proven track record of success. From the Asian Tigers in the 1960s to China more recently, growth through exports has lifted millions out of poverty by creating quality jobs. Consider the case of Vietnam. Over the past 30 years, the country has witnessed a remarkable increase in living standards, with […]
CategoriesElectronics Focus Areas Ideas for GrowthPaving pathways for India’s labour force According to the PLFS report for 2021-22, the Indian worker population ratio for ages 15 and above is only 52.9%[1]. This is much lower compared to other countries, such as China (80%) and Japan (70%), during periods of rapid economic growth[2]. Further, 26.8% of the labour force is employed […]
CategoriesFocus Areas Ideas for GrowthThe Indian government launched the Production Linked Incentive (PLI) in 2020, starting with the Large-Scale Electronics Manufacturing Sector. When launched, it was heralded by the government as one of the major initiatives to increase the share of manufacturing in the country. However, the short-run results have been a bit of a mixed bag. Success appears […]
CategoriesFocus Areas Ideas for GrowthMSMEs are called the powerhouse of the Indian Economy. They contribute 27% to India’s GDP, provide over 11 crore jobs and contribute 45% to India’s exports. The 6.4 crore MSMEs embody the entrepreneurial spirit of India. But at the same time the MSME sector is often regarded as a symptom of India’s poor business environment, […]
CategoriesFocus Areas Ideas for GrowthWe have established before that exports are critically important for a country like India to grow fast. However, exporting goods from India can be an incredibly challenging process due to the complex legal and regulatory framework that involves multiple government agencies. From the moment a business decides to export its products to international markets, they […]
CategoriesFocus Areas Ideas for GrowthIn summary Growth journey of India and Bangladesh Since the Liberation of Bangladesh in 1971, India and Bangladesh have followed similar economic growth trajectories. Both countries grew at an average annual growth rate of about 4% till 2001 and since then have grown at 8-9% annually. This growth trajectory, however, masks key differences in the […]
CategoriesElectronics Focus AreasIndia’s growth in Electronic Manufacturing over the last few years has been remarkable. Since 2015, we have had a 15% annual growth in the Total Electronics and Electricals exports, with growth in Final Goods exports being a whopping 26%. However, in the global scenario, India is still behind by a huge margin. While China’s export […]
CategoriesFocus Areas TourismIn 2019 international visitor spending amounted to over USD 1.8 trillion (6.8% of world exports). But India was able to capture less than 1.5% of this market in terms of international tourist arrivals and tourist spending. While France, Spain, USA and China capture nearly 25% of this market. This clearly shows that despite India’s rich […]
CategoriesFocus Areas TextilesWhen we think of ‘manufacturing’, India doesn’t come to mind as a success story, and with good reason. India’s slice of the global manufacturing pie is a meagre ~2.5% (2019). The ~45% of the Indian workforce employed in agriculture contributes less than a fifth to India’s GVA, signalling a serious problem of low worker productivity. […]
