India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early1990s and has served to accelerate the country’s growth, which has averaged more than 7%per year since 1997. India’s diverse economy encompasses traditional village farming, modernagriculture, handicrafts, a wide range of modern industries, and a multitude of services.
Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India’s output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis – in large part because of strong domestic demand – and growth exceeded 8% year-on-year in real terms. However, India’s economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government’s fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to courruption scandals that have slowed legislative work. India’s medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate
physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.
Indian industry today is on the threshold of entering into a new era where it will assume greater responsibility in making the nation self-reliant in Defence Production. The resurgence of India’s manufacturing sector has been remarkable. Not only are the profits soaring, the sector is also making its presence felt abroad as many Indian firms are becoming transnational companies.
The Indian manufacturing sector is internationally competitive with international quality standards, efficiency and manufacturing facilities. India is fast developing into a manufacturing hub for world corporations wanting to leverage the sector’s proven skills in product design, reconfiguration and customization with creativity, assured quality and value addition.
India, also keen to strengt...read more
Petroleum reserves were estimated at 4.8 billion barrels in early 2002. From less than 100,000 tons in 1951, crude oil production rose to 37.1 million tons in 1995. Production was 1.9 million barrels per day in 2001, and expected to grow to 3.4 million barrels per day by 2010. Oil exploration and production are undertaken in joint ventures between government and private foreign companies. Oil accounts for roughly 30% of India’s energy consumption. Production of natural gas increased from 920 million cu m in 1973 to 21,300 million cu m in 1999.
In 2000, India consumed 509.9 billion kWh of electricity, of which 1.675 billion kWh was imported. Total installed electric capacity, which was 18,500 MW in 1974, rose to 111,777 MW in 2001. Production in 2000 was 512 billion kWh, of ...read more
India has the world’s third largest road network,covering more than 4.3 million kilometers and carrying 60% of freight and 87% of passenger traffic. Indian Railways is the fourth largest rail network in the world, with a track length of 114,500 kilometers.India has 13 major ports, handling a cargo volume of 850 million tonnes in 2010.
India has a national teledensity rate of 74.15% with 926.53 million telephone subscribers, two-thirds of them in urban areas,but Internet use is rare, with around 13.3 million broadband lines in India in December 2011.However, this is growin...read more
The Indian Automobile Industry manufactures over 11 million vehicles and exports about 1.5 million each year.The dominant products of the industry are two-wheelers with a market share of over 75% and passenger cars with a market share of about 16%.Commercial vehicles and three-wheelers share about 9% of the market between them. About 91% of the vehicles sold are used by households and only about 9% for commercial purposes.The industry has a turnover of more than USD $35 billion and provides direct and indirect employment to over 13 million people.
The supply chain is similar to the supply chain of the automotive industry in Europe and America.
Interestingly, the level of trade exports in this sector in India has been medium and imports have been low. However, this is rapid...read more
The Indian Armed Forces have a proud tradition, having provided one million soldies during World War I and two million in World War II battles in Asia, Africa, the Middle East, and Europe. The armed forces are entirely volunteer and consist of the regular army, navy, and air force; the territorial (reserve) army; and 13 different full-time or reserve special purpose paramilitary units for border, transportation, and internal defense. The home guard and provincial armed constabulary alone number over 1,000,000 while the Ministry of Home Affairs controls 167,400 riot police and 174,000 in the Border Security Force (BSF).
In 2002, armed forces personnel totaled 1,298,000. The army had 1,100,000 personnel, organized into three armored divisions, one mechanized division, 18 infantry d...read more
Total expenditures on research and development amounted to 41.9 billion rupees in 1987–97; India had an estimated 149,000 scientists and engineers and 108,000 technicians engaged in research and development that year. Allocations are divided among government and industry, with government providing the major share. There has been a marked growth in the training of engineers and technicians. In 1987–97, science and engineering students accounted for 25% of college and university enrollments. Among the technological higher schools are the Indian Institute of Science at Bangalore and the Indian Institutes of Technology at Mumbai (formerly Bombay), Delhi, Kanpur, Kharagpur, and Madras. In 1947, there were 620 colleges and universities; by 1996, that number was nearly 7,700. One of the pr...read more