Indian Economy

                            INDIAN ECONOMY

India was once known as the golden bird. India had a lot of wealth and gold but many rulers conquered India from time to time. Britishers also ruled India for more than 150 years. In this period, Britishers spoiled the resources of India for their self interest .

India got independence on 15th august 1947. After a long freedom struggle, Britishers left the country. But within these 150 years the resources of India were exploited and India lacked much behind.

The infrastructure of India was very weak , the only one thing which Britishers did in favor of India was the introduction of railways. When India gained freedom, rule came in hand of Pandit. Jawahar Lal Nehru ji (first prime minister of India) .In initial years he stressed upon the development of infrastructure and development of Indian industries , so that  Indian economy could get some stability and by doing this he laid the foundation of strong infrastructure and stable economy.

When Mr. Rajeev Gandhi became the P.M(prime minister) of India the era of modernization  begun . He was the only person to introduce computers in India . Later in 1990’s process of globalization started . In 90’s the economic police of India was changed . Before 1992 the Indian industries didn’t faced any competition from any outside firm . After 1947 till 1992 Indian government gave time to Indian firms to flourish but after 1992 the Indian markets were opened for direct foreign investment . Now Indian markets were open for trade. The Indian firms now face a tough competition from outside firms. This proved beneficial for the people as due to competition in market companies had to decrease the price of the products .

Many MNC’s (multi national corporations)  started investing in Indian market . The best example of multi national corporations in India are coca-cola, Sony , Samsung , etc.

Right now India is 11th largest economy according to nominal GDP(gross domestic production and fourth largest according to PPP i.e. purchasing power parity . Service sector of India accounts for 55% in GDP ,  agriculture and industrial sector accounts for about 17% and 28%. But despite of 52% of the total working population involved in primary sector , agriculture still contributes 17% in GDP. Service sector includes 34%of working population and secondary sector makes up further 14%.India in 2007 contributed 1.5 % in world trade according to (world trade organization) .

In agriculture sector India is the largest producer of tea , black pepper , milk , cashews ,  coconuts , etc and second largest producer of rice , wheat , sugar , cotton , silk , peanuts , and sugar. India is also largest producer of fruits with 10% of world’s fruit production.

The industrial sector of India has also become very powerful . Companies like Reliance , TATA , Aditya Birla group , Kingfisher and many other are now posing tough competition to multi national corporations not only in India , but also outside India . Recently TATA took over luxury car brands that are Jaguar and Land Rover . Also TATA had launched , world’s cheapest car Nano .

India is also producing large number of Doctors and Engineers every year . In NASA 30% of the total engineers are Indian.

It is also said that India’s GDP would cross the GDP of china by 2013. In near past , when whole world including the country like America was facing the problem of recession , even then also Indian economy was not much affected by it .

So if India would keep its GDP growth pace like this only then by 2020 Indian economy would be the most strongest economies of the world.