Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 401 views

    Indian Growth Story Is Only Urbanised

    Uploaded by

    bmbalan97
    Indian economic growth has relied heavily on agriculture, which remains the largest employment sector and plays a key role in development. Agriculture provides the foundation for industrialization by supplying food, raw materials, labor, and foreign exchange. It also creates domestic demand that drives other sectors. While India has urbanized, a strong agricultural foundation remains essential for sustained and inclusive economic growth.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd

    Indian Growth Story Is Only Urbanised

    Uploaded by

    bmbalan97
    401 views36 pages
    Indian economic growth has relied heavily on agriculture, which remains the largest employment sector and plays a key role in development. Agriculture provides the foundation for industrialization by supplying food, raw materials, labor, and foreign exchange. It also creates domestic demand that drives other sectors. While India has urbanized, a strong agricultural foundation remains essential for sustained and inclusive economic growth.

    Original Title

    Indian Growth Story

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Indian economic growth has relied heavily on agriculture, which remains the largest employment sector and plays a key role in development. Agriculture provides the foundation for industrialization by supplying food, raw materials, labor, and foreign exchange. It also creates domestic demand that drives other sectors. While India has urbanized, a strong agricultural foundation remains essential for sustained and inclusive economic growth.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    401 views36 pages

    Indian Growth Story Is Only Urbanised

    Uploaded by

    bmbalan97
    Indian economic growth has relied heavily on agriculture, which remains the largest employment sector and plays a key role in development. Agriculture provides the foundation for industrialization by supplying food, raw materials, labor, and foreign exchange. It also creates domestic demand that drives other sectors. While India has urbanized, a strong agricultural foundation remains essential for sustained and inclusive economic growth.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 36

    Indian growth story is only

    Urbanised
    Indian growth story is NOT only
    Urbanised
    Agriculture Sector
    • Agriculture process is normally regarded as a prerequisite of
    economic development.
    • Economic development in the modern times has come to be
    associated with industrialisation.
    • Industrialisation can follow only on the sound heels of
    agriculture.
    • It is the foundation.
    • Weak foundation would not allow a solid structure to be
    raised on it.
    Contribution from Agriculture
    • There are four types by which agriculture is contributing to
    overall economic development.
    i. Product contribution
    (Making available food and raw materials)
    ii. Market contribution
    (Providing the market for producer goods and consumer goods
    produced in non-agricultural sector)
    iii. Factor contribution
    (Making available labour and capital to the non-agricultural sector)
    iv. Foreign exchange contribution.
    Product contribution
    • Agriculture is the source of supply of basic wage-goods such
    as food items.
    • A scarcity of food creates imbalance in the economy.
    • Checks on economic development.
    • There are two types of such imbalance are:
    – Aggregate demand for food products in the developing country
    – Supplement domestic supply of food grains by import
    Imbalance
    – Aggregate demand for food products in the developing
    country
    • Happen because of population growth and rising per capita
    income.
    • Relatively high income elasticity of demand for food.
    • Cause cycle.
    – Supplement domestic supply of food grains by import
    • Maintain internal demand supply equilibrium.
    • It will lead to adverse effect on domestic sector.
    Market and Factor contribution
    • Two essential inputs required for industries may be procured
    only from the agricultural sector.
    – Raw Material
    – Labour
    Foreign Exchange contribution
    • Initial stage, industry earns little foreign exchange but create a
    strong demand for it.
    • Industry needs exchange for machinery, technology and other
    inputs that are not produced locally.
    Link between Agriculture and Industry
    • Production Linkages,
    • Demand Linkages,
    • Saving and Investment Linkages.
    MAJOR PROBLEMS OF URBANIZATION
    Overcrowding in cities becomes a great problem

    • Great numbers of immigrants and people coming


    from the farms

    • There was an increase in the birth rate and a drop in


    the mortality rate.

    • Street cars and elevators made it possible to have


    more people in the cities.
    Inadequate, inferior, dangerous, and crowded housing.
    • Under the conservative assumption
    • Urbanization level 40% in 2030
    • India 1.5 billion ,largest in the world
    • Urban population 600million
    • Where will the additional 300 million people live
    • Where will the urban growth take place
    • North or south , Inland or coast
    • Which states ????????????
    There were poor public services in areas such as:

    • corrupt police departments.


    • water.
    • garbage disposal.
    • health
    • sanitation.
    Inadequate transportation system existed.
    Political corruption, particularly in the city governments, was
    rampant.
    GDP From Agrarian Economy
    • India ranks second worldwide in farm output.
    • Agriculture allied sectors like forestry and logging accounted
    for 4.84% of the GDP in 2007, employed 60% of the total
    workforce.
    • Despite a steady decline of its share in the GDP, is still the
    largest economic sector and plays a significant role in the
    overall socio-economic development of India.

    Adobe Acrobat
    Document
    Present context
    • India is the largest producer in the world of Milk, Cashew
    nuts, Coconuts, Tea, Ginger, Turmeric and Black pepper.
    • World's largest Cattle population (281 million).
    • India is the second largest producer of Wheat, Rice, Sugar,
    Groundnut and inland Fish.
    • India is the third largest producer of Tobacco.
    • India accounts for 10% of the world fruit production with first
    rank in the production of Banana and Sapota.
    RAPID POVERTY REDUCTION
    MEASURING AND PROFILING THE POOR
    IN INDIA
    THE HEADCOUNT RATIO (HCR)
    GUARANTEED WAGE EMPLOYMENT—NATIONAL RURAL EMPLOYMENT GUARANTEE
    ACT (NREGA)

    • Guaranteeing 100 days of wage employment in a financial year to a rural


    household

    NATIONAL RURAL HOUSING CONSORTIUM


    • National Housing Bank (NHB)
    • NABARD, nationalized and premier commercial banks and apex microfinance.

    INCENTIVIZING LENDING INSTITUTIONS


    • At present, the rural housing loan portfolios of banks and HFCs, comprise only 10–
    12% of their total housing loans.
    • Increased from the present level of 40% to 60% for HFCs, banks, and NHB.
    • SHG’s and (MFIs)could also be encouraged to be actively involved in extending
    housing loans.
    Ensuring Rural Livelihoods

    • In developing countries across Asia, small and medium enterprises (SMEs)


    (i) make up 80%–90% of all enterprises
    (ii) provide over 60% of the private sector jobs
    (iii) generate over 30%–40% of total employment
    (iv) contribute about 50% of sales or value added.

    • In India, they constitute 95% of all enterprises.

    • Labour productivity of small-scale industries (SSIs) in India during 1990–98


    at the compound growth rate was 8.5% whereas labour productivity of
    large-scale industries (LSIs) was 7.54%.
    HANDLOOMS

    • Provides livelihood to 65 lakh people.


    • Cotton, silk, tasar, jute, wool, and synthetic blends.
    • India produces approximately 6541 million sq m of handloom cloth annually.
    • The average annual growth rate of handloom production has been 6.99%.
    • West Bengal, Tamil Nadu,Uttar Pradesh, Andhra Pradesh, Assam, and Manipur are
    the major handloom States accounting for 75% of handloom weaving in the
    country.
    • Europe is the largest destination
    HANDICRAFTS

    • It produces a range of items from utility goods to clothing and variety of


    lifestyle items.
    • The current market is valued at more than US$ 400 billion.
    • Average annual rate of growth has been 15%. (10 yrs)
    • It is projected to increase by 42% and generate an impressive US$ 9100
    million.
    • Double the production of handicrafts (from Rs 43600 crore in 2007–08 to
    Rs 90412 crore in 2011–12), double the exports (from Rs 23400 crore in
    2007–08 to Rs 48522 crore in 2011–12), and create almost 11 lakh
    additional jobs.
    SILK AND SERICULTURE
    • Produces mulberry, tasar, eri and muga.
    • Second largest producer of raw silk in the world.
    • 47 lakh are agriculturists.
    • Annual requirement of about 25000 metric tonnes of silk
    • Indian silk exports are primarily in the form of finished goods and not silk
    yarn.
    • Dependent on the import of quality silk from China. US, United Kingdom
    (UK), Italy, Germany, and Hong Kong.(55%)
    • India requires 120000 metric tonnes of silk.
    • Improve its productivity to 15% as against the current 9%.
    WOOL SECTOR

    • India is the seventh largest producer of raw wool accounting for 1.8% of
    the world production.
    • In 2003, it had 615 lakh sheep, that is about 4.2% of the world’s total
    sheep population.
    • Employs 27.2 lakh people—12 lakh in the organized sector, 12 lakh in
    sheep rearing and farming, and 3.2 lakh weavers in the carpet sector.
    • It is basically carpet grade wool and has an important role in the national
    economy: it is rural-based (sheep breeding),and contributes significantly
    to exports (carpets).
    KHADI AND VILLAGE INDUSTRIES (KVI)

    • The KVI sector comprises khadi manufacturing and production from


    village/rural industries spread all over the country.
    • The KVI programmes have now reached over 2.61 lakh villages providing
    employment opportunities to the rural poor.
    • SCs/STs artisans account for 32% and women for 46% of the total artisans.
    FOOD PROCESSING INDUSTRIES

    • Important part of the rural and semi-urban economy, with pickles, jams,
    chutneys, and papads.
    • 50 million tonnes of fruits - 9% of the world’s fruit production.
    • 90 million tonnes of vegetables, accounting for 11% of the world’s
    vegetable production.
    • 35% waste in the annual production, the value being approximately Rs
    54000 crore
    INDIAN AGRI-INPUT COMPANIES THRIVE

    • Focus on rural needs has helped agri


    companies weather the economic slowdown,
    setting the stage for the future growth

    • Thanks to sustained rural development


    Rank Company Turnover Net profit M-cap

    1 MAHINDRA&MAHINDRA 13371.5 867.5 22780.9

    2 COROMANDEL FERTILIZER 10089.6 559.5 2405.1

    3 ZUARI INDUSTRIES 9412.0 302.4 814.1

    4 TATA CHEMICALS 8645.7 452.1 5942.8

    5 RASHTRIYA CHEMICALS 8125.2 210.6 3565.1


    &FERTILIZER

    6 GUJARAT STATE FERTILIZER 5996.1 499.4 1120.1


    & CHEMICAL

    7 CHAMBAL FERTILIZER & 5765.4 225.6 2146.1


    CHEMICAL

    8 NATIONAL FERTILIZER 5237.2 97.5 2427.9

    9 UNITED PHOSPHOURS 4973.5 455.9 7179.4

    10 JAIN IRRIGATION SYSTEM 3131.0 129.4 5274.3


    INDIA’S INCREASING THRUST ON RURAL
    MARKET

    • FMCG, telecom, automobiles, banking and


    financial services have explored the rural
    market and want to increase their exposure to
    this sector
    8000

    7000

    6000

    5000

    4000
    Column2
    3000

    2000

    1000

    0
    1993-94 1995-96
    1996-97 1999-00
    2001-02 2003-04
    2005-06 2007-08
    NERGA- National Rural Employee Guarantee
    Act

    • Which guarantee 150 days of employment to


    every adult in rural area every year

    • Government plans to increase its outlay for


    NERGA program by 50% this year to nearly
    Rs 42000 crore

    You might also like