Like every economy, the key growth challenge for India has been the success with which it manages to create markets, domestically and internationally, for its products and services. Being a low-cost destination, price has never been an issue internationally, but quality standards had been a recurrent weakness, particularly for agriculture and industry. And though domestic market apparently looks huge with more than a billion consumers, lack of purchasing power has reduced this market to a zilch, in reality. So on one hand, the service sector to grow at an unprecedented pace as it was never dependent in the domestic markets, on the other hand, the agriculture and industry suffered, both internationally and domestically (as neither they could match international quality nor could they ever find adequate markets at home).
No doubt, India cannot continue the growth momentum hinging only on services (particularly IT, ITES and Bio-tech) as the current growth can't be sustained for a long period due to the lack of quality manpower. To hedge against this, Government of India should focus on producing quality manpower and
also focus on the agriculture and industrial growth.
It also becomes imperative for the Government of India to constantly create markets within the nation by providing gainful employment adding to purchasing power. Additionally, it has to focus on the social infrastructure; (education and health) as this would take care of the supply side (quality manpower) predicaments. This apart, it should also ensure the energy security for the nation, otherwise the entire growth story would come to a complete halt. Last, but not the least, the momentum in entrepreneurial spirit that the nation gained post-liberalisation should be promoted and not be dampened by sticky governance.
So with an objective to make the double-digit growth possible, sustainable and all inclusive, the IIPM Think Tank rolls out an 8 point agenda for the Government of India.