Currently, manufacturing's share of India's GDP is 17% and "we are hoping to increase it to 25%," Shri Kamal Nath, Minister of Commerce and Industry said Feb. 15. The government is aiming at 13% manufacturing growth next year, while the current year's manufacturing growth is more than 11%.
One of the reasons that India is targeting manufacturing, according to the Minister is that "job creation is of utmost importance in view of the country's young age profile."
Nath's comments came during a meeting with the Japanese Machinery Federation, which is on a business mission to India. According to the government office, a number of Japanese machinery companies are looking to locate in India but the delegation did express some frustration that infrastructure bottlenecks often hindered such collaboration.
The Minister assured the delegation that "infrastructural development was being addressed on a priority basis so that the high manufacturing growth rate could be sustained and further accelerated."
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