Industrialisation for Employment and Growth in India: Lessons from Small Firm Clusters and Beyond

India began liberalizing its economy in 1991 in an effort to transition from a state-led to an open, export-oriented industrializing economy. The Make in India initiative was launched in 2015 to boost the manufacturing sector's share of GDP and create 100 million jobs. However, the manufacturing sector's share and labor-intensive sectors have failed to improve India's exports. This book examines a series of case studies of the small industry to understand why India failed to boost industrial production and what it will take to meet the initiative's policy goals.

Format: Hardback
Length: 260 pages
Publication date: 07 October 2021
Publisher: Cambridge University Press

India embarked on a transformative journey of liberal economic reforms in 1991, with the vision of transforming a sluggish, state-led economy into an open, export-oriented industrializing powerhouse. While economic growth has indeed accelerated, industrialization has faced challenges due to the declining share of manufacturing and the lack of improvement in labor-intensive sectors, which have hindered India's exports. Recognizing the need for change, the government launched the ambitious Make in India initiative in 2015. The primary objective of this initiative was to boost the manufacturing sector's contribution to GDP to 25 percent and create an additional 100 million jobs by 2022. Official estimates portray a positive outlook for small-scale industries, suggesting that they are contributing to the growth of the economy. However, these estimates fail to explain why India has not achieved the expected increase in industrial production and failed to expand its exports as anticipated by the reforms. This book aims to address these critical questions by delving into a series of case studies of small industries across various locations. By gaining a deep understanding of specific industries and regions, the book seeks to draw meaningful conclusions and provide insights into the challenges and opportunities facing the small industry sector in India.

India embarked on a transformative journey of liberal economic reforms in 1991, with the vision of transforming a sluggish, state-led economy into an open, export-oriented industrializing powerhouse. While economic growth has indeed accelerated, industrialization has faced challenges due to the declining share of manufacturing and the lack of improvement in labor-intensive sectors, which have hindered India's exports. Recognizing the need for change, the government launched the ambitious Make in India initiative in 2015. The primary objective of this initiative was to boost the manufacturing sector's contribution to GDP to 25 percent and create an additional 100 million jobs by 2022. Official estimates portray a positive outlook for small-scale industries, suggesting that they are contributing to the growth of the economy. However, these estimates fail to explain why India has not achieved the expected increase in industrial production and failed to expand its exports as anticipated by the reforms. This book aims to address these critical questions by delving into a series of case studies of small industries across various locations. By gaining a deep understanding of specific industries and regions, the book seeks to draw meaningful conclusions and provide insights into the challenges and opportunities facing the small industry sector in India.

Weight: 528g
Dimension: 163 x 238 x 27 (mm)
ISBN-13: 9781108832335