markettrend766
20-10-2008, 05:47 AM
The incredible India growth story which has largely been led by the growth in the service sector has sidelined the manufacturing sector which has been taken for granted. This does not bode well for the country, as every wealth creating nation in the history of the world has been associated with manufacturing competitiveness, said Mr B Muthuraman, managing director, Tata Steel Ltd here.
He said, the service sector can only grow on the back of the manufacturing sector. And if the manufacturing sector does not grow, the service sector will be left with nothing to service. “We must worry about the fact that India’s manufacturing sector has contributed just 10-15 per cent to the GDP over the last 50 years, in stark contrast to China’s contribution which is a little over 30 per cent today.”
Mr Muthuraman’s recipe for manufacturing success in the country is as follows: “The most important factor required to make the Indian manufacturing sector more competitive is the ‘manufacturing mindset’,” said Mr Muthuraman.
He said, the service sector can only grow on the back of the manufacturing sector. And if the manufacturing sector does not grow, the service sector will be left with nothing to service. “We must worry about the fact that India’s manufacturing sector has contributed just 10-15 per cent to the GDP over the last 50 years, in stark contrast to China’s contribution which is a little over 30 per cent today.”
Mr Muthuraman’s recipe for manufacturing success in the country is as follows: “The most important factor required to make the Indian manufacturing sector more competitive is the ‘manufacturing mindset’,” said Mr Muthuraman.