To fully exploit its demographic dividend and accelerate economic growth, India needs to adopt a manufacturing-led growth model. Discuss.

India will enjoy a 35 year demographic dividend with BOPS with median age of population around 28 years. But to leverage, India needs to build strong manufacturing led growth model which is stagnant at just 17.7 industry contribution to GDP. Benefits of adopting manufacturing led growth model: Exploit demographic dividend: 1) Job creation for population (manufacturing can take up those jobs from agriculture as FUP involved want to quit 2) Semi-skilled workers can be employed in factories so education-vocation leveraged 3) Include women in the labour force leading to advantage (cement FLFPR → 33.7%) 4) Balance manufacturing sector by employing people leading to 'comparative cost advantage' of Ricardo's theory Accelerate economic growth: 1) Manufacturing → Exports: Forex Income (India's Foreign trade policy puts emphasis on manufacturing corporate) 2) China's manufacturing has 40% GDP contribution leading to 1.9 trillion economy. India needs to emply the model. 3) Service sector not job creating and has reached potential. 4) Mfg sector → consumption and credit virtuous cycle. Thus recommendations of UK Sinha Committee on MSME sector are needed to be employed to ensure India reaches the goal to 5 trillion economy and a significant demographic advantage.

[Continuation of answer from page 14] Accelerate economic growth: 1) Manufacturing → Exports: Forex Income 2) China's manufacturing has 40% GDP contribution leading to 1.9 trillion economy. India needs to emply the model. 3) Service sector not job creating and has reached potential. 4) Mfg sector → consumption and credit virtuous cycle. Thus recommendations of UK Sinha Committee on MSME sector are needed to be employed to ensure India reaches the goal to 5 trillion economy and a significant demographic advantage.

— Nisar Dishant Amrutlal · AIR 19