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Productivity is the engine of India's manufacturing growth: CII

Productivity is the engine of India's manufacturing growth: CII
Productivity: The engine of manufacturing growth · financialexpress.com

India is a country where lots of factories make things like clothes, machines, and other goods.

For many years, India's factories have been growing by building bigger factories and hiring more workers.

But a leader from a big business group called CII says that is not enough anymore.

He says India must learn to make more things using the same workers, machines, and money—that is called productivity.

Imagine cleaning a pile of toys: if you find a better way to finish faster, you are being more productive.

The article says India spends very little money on research and development compared to other countries.

It also says India should help small businesses grow bigger and work together with companies from other countries.

The goal is for India to become a rich, developed country by the year 2047.

To reach that goal, the article says factories need to work smarter, not just work more.

Key facts

Author
Director General, Confederation of Indian Industry (CII)
TFP growth (1980s / 1990s / 2000s)
2.3% / negative / 2.1%
R&D spending
0.64% of GDP
Proposed R&D target
1.5% of GDP by 2030
PLI scheme results
Rs 2 lakh crore investment, Rs 19 lakh crore output, 13 lakh jobs
Manufacturing target
25% of GDP by 2035; 140 million jobs
Logistics costs
7.97% of GDP
Digital & tax data
UPI transactions Rs 261 lakh crore in FY25; GST registrations crossed 15.1 million

Sources

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