Industry Growth Rate in India GDP has been impressive in the last few years. The Growth Rate of the Industry in the India GDP has grown due to sustained manufacturing activity over the years. This has given a major boost to the Indian economy.
Indian economy
India gross domestic product (GDP) means the market value of all the services and goods that are manufactured within the territory of the nation during the specified period of time.
The Indian economy is the twelfth biggest in the world for it has the GDP of US$ 1.09 trillion in 2007. The country has the second fastest major growing economy in the whole world for it has the GDP rate of 9.4% in 2006- 2007.
The contribution of the Industrial Sector in India GDP
The industrial sector is one of the main sectors that contribute to the Indian GDP. The country ranks fourteenth in the factory output in the world. The industrial sector is made up of manufacturing, mining and quarrying, and electricity, water supply, and gas sectors. The industrial sector accounts for around 27.6% of the India GDP and it employs over 17% of the total workforce in the country. The Growth Rate of the Industrial Sector in India GDP came to around 5.2% in 2002- 2003. In this year, within the India GDP, the mining and quarrying sector contributed 4.4%, the electricity, water supply, and gas sector contributed 2.8%, and the manufacturing sector contributed around 5.7%.
The Growth Rate of the Industry Sector in India GDP came to around 6.6% in 2003- 2004 and in this year, the electricity, water supply, and gas sector contributed 4.8%, the mining and quarrying sector contributed 5.3%, and the manufacturing sector contributed 7.1% in India GDP. Industry Growth Rate in India GDP came to 7.4% in 2004- 2005, with the manufacturing sector contributing 8.1%, the mining and quarrying sector contributing 5.8%, and the water supply, electricity, and gas sector contributing 4.3% in India GDP.
Industry Growth Rate in India GDP came to 7.6% in 2005- 2006. In this year, the mining and quarrying sector contributed 0.9%, the manufacturing sector contributed 9.0%, and the water supply, gas, and electricity sector contributed 4.3%. The Growth Rate of the Industrial Sector finally came to 9.8% in 2006- 2007. This shows that Industry Growth Rate in India GDP has been on the rise over the last few years.
The reasons for the rise of Industry Growth Rate in India GDP
The reasons for the increase of Industry Growth Rate in India GDP are that huge amounts of investments are being made in this sector and this has helped the industries to grow. Further the reasons for the rise of the Growth Rate of the Industrial Sector in India are that the consumption of the industrial goods has increased a great deal in the country, which in its turn has boosted the industrial sector. Also the reasons for the increase of Industry Growth Rate in India GDP are that the industrial goods are being exported in huge quantities from the country.
The Indian government must boost the Industrial Sector
Industry Growth Rate in India GDP thus has been registering steady growth over the past few years. This has given a major boost to the Indian economy. The government of India thus must continue to make efforts to boost the industrial sector in the country. For this will in turn help to grow the country's economy.