Thank you so much, my dear brothers and sisters, for your love and support of my previous post “Urban Naxals”. Today I shall talk about “India reaching toward the 5 trillion dollar economy”.Now we shall know about the participation of Government & private sectors in Economic Mechanism.
India Leading towards Goals with current economic affairs, and Short & Medium-term measures. This topic is subjected to current economic growth and Economic condition at the domestic level. As well as Global level growth and expansion of the Indian Market in different countries around the world.
The idea behind making India 5 trillion dollar economy:-
As we all know that our Prime Minister Shri Narendra Modi announced on 15th August 2018 about his dream to make India as a “Developed Nation”. This dream not only belongs to him as well as 1.30 billion peoples’ dream project of making our country Top Business & Entrepreneur Center, Space Research & Development, Higher Level Education as well as higher level of employment and to estimate poverty as soon as possible. We, the peoples of India dream is to make India a Strengthen Economy, Super Power and To challenge at the global level in the world. Not only by money with our several fields we need to grow.
HealthCare, Doctors, engineers, Science
- Defence and NationalSecurity
- Trade and Commerce, Business and entrepreneur
- Employment most important to estimate our Poverty level
- TransportationSector(Tertiary Sector) and Tele-communication and Public & PrivateIndustries
- Education and Information andTechnology
But I know there are several kinds of challenges which we need to overcome our domestic Challenges. We all know that the path is not easy. Some of the people will say it is too impossible. But we can make it possible and easy. If every Indian honestly does their task nobody able to desecrate you from your path. It could be easy for everyone (INDIAN).
It doesn’t matter if you are a government Servant, private-sector employee, a businessman or normal rag-picker .“I, you and we” believe in our strength and ability but some of the social evils stop us from identifying our talent.
Society thinks that we are just ordinary people what we can do but I believe that every single people(Indians) are an“Extra-Ordinary People”. God has given us so many things in our localities that we can do with any things that God has sent us to do something to our society and nation.
Every Indian is doing their task to arrange bread and butter but our thinking hasn’t changed. Because when someone comes to our door asking for food, we voluntarily serve him food happily. We didn’t care about whether it would be left for us or not. That’s our Indian culture as I above mention that we are honest with our work.
Participation of Government & Private Sectors views:-
In the Primary sector, we need to make our farmers more strengthened and capable of cultivating farms. The government supports them with Financing & loan facilities, Technological aspects, and Labour incentive techniques. Sometimes there is a failure of a government program due to some political and social issues which result in farmer suicide. But if the government plans correctly implemented there is the least chance of bank debt farmer, due loans these issues can be avoided,. The current government has appealed to its citizens to open their bank account under Krishi Khata A/C or Jan Dhan A/C schemes. And because of this step now the government can directly credit subsidies to the farmers’ Bank account to their account without any mediators. Secondary sector- these sectors include mining, manufacturing, and import-export, etc.
The government has been motivated to improvise in the field of small scale and medium scale industries. Like cottage industry, Colour and drying companies, Paper and Pickles small scale industry, etc. currently the government allows the start-up India. And Stand up India program where small scale, medium, and large scale industries to be set by government plans Like Mudra Yojana, Shishu, Kishor and Tarun Loans, etc. This results largely no. of women and youth established there own business with a cheap rate of interest of the bank without any guarantee.
The tertiary sector is the most important and part of every county.
Tertiary sectors include Banking, Insurance, Transportation, and communication, etc. Tertiary is concerned with providing services that facilitate a smooth flow of goods and services. The tertiary sector helps in activities of the primary and secondary sectors. In other words, we can say that this sector provides services that support the activities which are backed by primary and secondary sectors. Well, India is rising in the field of transportation as you can take an example recently our honorable prime minister and Road and Transportation minister made a sea canal from Varanasi to Calcutta for the shipping business which is more beneficial to Northern India and North-East region for smooth transport of goods and services.
Most of the private sector voluntarily wanted to invest in government companies. Most of the private sectors from domestic as well as foreign companies watched India grow in the last 5 years. From the UPA government to the NDA government there is a gradual change in the Indian economy. Several domestic companies are ready to invest in government programs which give benefits to “Youth” for more opportunity for job vacancies in both the field of Private and Public sectors. More than 50 companies from foreign companies are ready to participate to uplift India as a “Global Business Center”. Whereas Foreign Direct Investment increases to 18% to 35%. As a result, more and more job vacancies, Technological aspects, more and more Vocational Education and training and it leads to a rise in the Standard of Living reducing the poverty level.
India leading with current economic affairs
1. India is one of the fastest-growing major economies and is currently ranked as the world’s sixth-largest economy. India’s commitment to fiscal discipline, sound external position, unprecedented Foreign Direct Investment (FDI) inflows, comprehensive structural reforms, efficient delivery of services through the India stack. And the enhanced emphasis on social protection and financial inclusion have provided a robust framework for sustaining strong and inclusive growth going forward. India’s performance in the Doing Business Ranking, Global Competitiveness Index, Logistics Performance Index and Global Innovation Index are all positive and encouraging.
2. Several underlying strengths are indicative of the latent potential of the economy. India is currently bestowed with a “youth bulge” – by 2020, the average age in India will be 29 years. India offers an expanding market with income levels and size of the middle-class increasing. Investments in infrastructure are projected over the medium term to lead to better connectivity and reduced logistics costs for businesses. State Governments have been proactive in helping improve the business environment. Digital technology has led to positive disruption in both governance and businesses.
3. The International Monetary Fund projects that India would reach Gross Domestic Product (GDP at current prices) USD 4.6 trillion in 2023. India’s growth in real terms is expected to rise from 6.7 percent in 2017 to 7.3 percent in 2018. And 7.4% in 2019 and move to 7.7 percent in the subsequent years up to 2023. According to Morgan Stanley2, India’s GDP could reach USD 6 trillion in 2027 if its digitization drive succeeds. A PWC report suggests India can become a USD 10 trillion economies in the next 20 years with a compound annual growth rate of 9 percent.
SHORT-TERM MEASURES
i. Private traders account for a disproportionately large share in revenue from the sale of agricultural produce relative to the services they provide.
Because under the erstwhile Agriculture Produce Market Committee Act, the auction system in wholesale markets has been quite opaque.
State Governments may be encouraged and incentive to reform their respective agricultural marketing systems on the pattern of Model APLM Act 2017 for enabling better price realization by the farmers.
ii. Promotion of awareness and extension efforts on identified technologies to improve and optimism overall input efficiency. Eg. Zero-tillage, the system of rice intensification, mechanization of specific agricultural operations, integrated pest management, integrated farming systems.
iii. Allocation of greater resources towards minor and micro-irrigation, accounting for the fact. And that marginal efficiency of capital is much higher in minor and micro-irrigation than major and medium irrigation systems.
iv. Encourage investments, public and private, to develop integrated cold chain, warehouses, pack-houses and other integrated agro-logistics systems. Incentives private corporate sector participation in these activities.
v. Credit support to individual farmers and clusters channelized towards diversification to horticulture, high-value crops, post-harvest and food processing ventures. Special attention needs to be paid to the north-eastern, eastern and rainfed States/regions for augmenting the scope of access to institutional credit.
MEDIUM/ LONG-TERM MEASURES
i. Accelerating the pace of public investment in agriculture and ensuring greater efficiency in capital use. Inter-ministerial coordination to converge public investments by targeting common outcomes can decrease the Incremental Capital Output Ratio (ICOR) across States.
ii. Continued emphasis on agricultural research and extension to improve crop productivity.
iii. Strengthened linkages with micro, small and medium enterprises (MSMEs)
iv. Efforts to take advantage of India’s comparative advantage in fresh produce and expand exports of value-added/processed foods. For this, a more stable trade regime is recommended.
v. Encourage aggregation and pooling of output from farms and in organizing the market linkages, reducing post-harvest losses as well as optimizing transaction costs. Scaling up post-harvest operations and directly linking them with markets beyond the local mandi/market.
In Part-II, I will give you some arrangements on these features regarding 5 Trillion dollar economy:-
- Current economic growth which India dealing with Domestic as well as Global economic growth
- Structural of economic and Multi-dimensional
- Statistical Measures and Foreign dealings
Jayant Jha
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