Comments
India needs to push harder to increase manufacturing and industrial product exports, Dr Kaushik Basu, Chief Economic Advisor in the Finance Ministry, has said.
The country should strive to occupy the space vacated by China in these segments, Dr Basu said here on Friday after giving away the Exim Bank’s international economic development research award for 2011.
He pointed out that China was better off after it had occupied this space for many decades. “This space has now been conceded to India. But India is not picking it up with gusto,” he rued.
India should also take advantage of the recent fall in rupee to push exports, he said, pointing out that depreciation of renminbi played an important role in China’s arrival as a major exporter. As China transitioned from a central planning to a market economy, the renminbi was devalued to increase the competitiveness of Chinese industry. China’s policy of liberalising the market for its currency has paid rich dividends.
Dr Basu also stressed the need for India to enhance its focus on research and development, generation of ideas and development of technologies.
He called for more abstract theoretical research, stating that this was something that was short in India.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.