Unlike most developing countries, the Indian economy has followed a trajectory in which the services sector has grown at a faster rate and has come to occupy a much higher share in GDP as compared to industry. While there is no doubt that the growth of the services sector has been beneficial for the economy, there are many reasons why it is imperative to develop India’s competitiveness in the manufacturing sector.
This report takes a look at the problems that ail the manufacturing sector, highlights the sectors with growth potential and provides policy direction.