Indian economy is the sixth largest in the world because India is rapidly recovering after the pandemic. The pandemic induced lockdown crippled the economy with loss of economic activity leading to mass unemployment. Indian economy is robust because it is based on strong fundamentals of saving. This stimulated growth because, unlike western countries, Indians save for unforeseen eventualities like Corona. With reduced income, people’s purchasing power got reduced because they were spending only on essential items crucial for sustenance. This decreased the demand for non-essential goods, which affected the profit margins of companies producing them.
The GOI was quick to respond by offering easy bank credits so that manufacturers can revive production & cater to future demand. These and many other steps unleashed by the Finance Minister Ms. Nirmala Sitharaman are providing the desired impetus to the Indian economy. India needs rapid investment in key technology areas where we are lacking because importing them affects our fiscal deficit. One area is medical devices because we import almost 90% of these, leading to higher consumer costs & reduction of foreign reserves.
India needs to establish itself as a manufacturing base because we have the expertise to develop quality products at competitive price. We can outclass China by producing better quality products for which consumer is ready to pay good price. The need for the hour is developing R & D that fosters innovation because innovative practices foster discovery crucial for growth. Whether its defense, medical equipment, drug APIs or semiconductors, India should foster local manufacturing because self-sufficiency is vital for growth. The Chinese are dominating the world because they are producing innovative products that offer value to the consumer.
The startups will nurture growth because they address core issues & provide innovative solutions offering value for the consumer. Till date, India has nurtured 55 Unicorns which have received robust funding because of strong business models. The world values Indian intellect with tech majors like Infosys, TCS, & Wipro winning mega contracts internationally. Services sector contributes 50% to the GDP because major IT companies are winning contracts globally.
The pandemic induced lockdown boosted tech companies because all businesses went digital to lure new customers. In fact, these companies made huge profits because they received many orders because all businesses realized the power of ecommerce. This growth is possible because of quality talent who are tech savvy & ready to take risks. They require encouragement & help like Mudra Loans, which fosters their entrepreneurial ambitions to make India self-reliant.
The Pandemic induced lockdown nurtured the digital economy because it compelled everyone to use digital payments because they are contact less. Despite the lockdown, essential sectors like grocery, medicines & dairy products were unaffected because they are crucial. In fact, these are the base of the economy because 50% of GDP comes from agriculture. They are the pillars which withstood the Corona shock & gave excellent results, thus fostering economic growth. The agriculture sector gave a bumper harvest that revived the economy because farmers received a good price for their crops. The Direct Bank Transfer (DBT) ensured farmers receive procurement price directly into their banks removing the middlemen. This boosted tractor sales, which saw 22% YOY growth, thus fueling the growth of the farm equipment sector.
In the words of philanthropist & educationist, Dr Sudhir Giri agriculture is the backbone of the Indian economy because the farm sector saved the economy & revived it. We should credit the farmer for reviving the Indian economy by giving bumper crops because it assisted the government in providing free ration. These farmers flocked to the markets & revived growth because bumper crops bolstered their purchasing power. Another sector worth mentioning is drugs & pharmaceuticals because pharmacies were open throughout the lockdown.
The finance minister announced Rs 17000 crores Production Linked Incentive (PLI) to boost local manufacturing of APIs because they are crucial for self-sufficiency. We cannot depend on China because it can disrupt our supply chains, causing irreparable human suffering because of a dearth of life-saving drugs. India is a creditable name in the pharmaceutical market, being the largest producer of generic drugs & vaccines in the world. India produces over 55% of the vaccines because we are home to Serum Institute of India (SII) the largest vaccine manufacturer in the world. Remarkable contribution is being made by Dr Sudhir Giri, led Venkateshwara Group by nurturing quality pharmacists through practical training in hi-tech labs.
India needs educationists like Dr Sudhir Giri, who promote affordable education & healthcare for all. India has the human resource. We require unicorns in new drug discovery because they will foster our economic growth. Companies like Cipla through innovation have supplied anti-HIV drugs at 1/25th of the price American companies charge. This strategy will spur growth because through innovation we can produce drugs at competitive prices & dominate the market. Whether its defense or semiconductors self-reliance will encourage growth because Indians can develop cost effective versions. India needs to establish its own semiconductor base because we heavily depend on China, & Korea for electronic chips. This dependency is siphoning our foreign reserves because the pandemic has affected our supply chains & made the chips dearer. We attribute the long delay in delivery of passenger cars to chips because these are crucial for car’s dashboards.
