Need to increase GDP growth to 9% & industrial growth to 25% for India to become economically developed by 2020: Dr APJ Abdul Kalam

India can become economically developed by 2020 if its gross domestic product (GDP) can grow at nine per cent from current level of 6.5 per cent and by achieving industrial growth of about 25 per cent from current level of 15-16 per cent, former President of India, Dr APJ Abdul Kalam said while inaugurating a summit titled ‘India: Innovative, Creative & Inclusive,’ organised by The Associated Chambers of Commerce and Industry of India in New Delhi on May 21,2015.

“Our GDP is limbing 6.5 per cent now it should go to minimum nine per cent GDP, with our 600 million youth population and if our small scale industry, farmers and IT (information technology) are doing very well, with these backgrounds there is a possibility of India becoming economically developed by 2020,” said Dr Kalam in response to a question about his views on various ambitious programs like Digital India, Swachh Bharat Abhiyan, Jan-Dhan Yojana, Make in India and others launched by the Union Government during the course of past one year.

“Today, 30 per cent people live below poverty line, we can lift them up, our industrial growth is only 15-16 per cent and we have to go to 25 per cent,” he added.

He also said that manufacturing industry has to be empowered to achieve 25 per cent GDP contribution by 2020 from 16 per cent as on 2015 by increasing the depth in manufacturing focusing on the level of domestic value addition, enhanced global competitiveness through appropriate policy support and sustainability of growth particularly with regard to the environment.

Dr Kalam emphasised upon the need to have a long-term defence strategy and vision for defence industry growth, involving large private industries as production partners.

“The need of the hour is to establish a Military Industry Complex (MIC) at the national level enlisting large and medium industries to be partners along with defense PSUs as its members,” said Dr Kalam.

“Establishment of MIC envisage not only the industrial development but also create a number of job opportunities,” said Dr Kalam. “This will pave way for knowledge workers to participate and contribute in the production of high-quality systems.”

“This will change world’s perception towards India from an importer country to an exporting giant,” he added.

He also said that the Government should allocate more funds for research and development (R&D). “More thrust has to be given for Government funding for R&D even to private companies to strengthen the indigenous R&D capability.”

Dr Kalam further said that regulations and control procedures are to be implemented in managing private industries for manufacturing of defense systems.

“Encouraging high technology tie-ups and joint ventures between Indian and other global defense industries will achieve not only competitiveness but also envisage the product for export, India cannot afford to lose anymore time in pondering the issue,” said the former President of India.

Talking about his experience of promoting technological innovations, Dr Kalam said, “Our policy ecosystems do not keep in pace with possibilities and potentials presented by technologies and engineering. Also, bigger Indian businesses do not generally look for many such new opportunities.”

Sharing his thoughts on ‘Growth with Innovation is imperative to an economically developed India 2020,’ Dr Kalam also rued at India’s 64th rank in the Global Innovation Index. “We should at least aim for coming the first 10,” he said.

Don't overlook this star attraction!

Being resident of the Doon for over forty years I have seen horse-drawn carriage tongas or “tangas” were once very effective form of transport in the Doon Valley. Prior to Dehradun being made the capital of Uttarakhand their routes had shrinked to just between Tehsil chowk and Dalanwala. However after Dehradun turning into Uttarakhand’s capital this mode of transport has vanished into the blue at the hands of urbanisation.

There is an urgent need to preserve our heritage, least our coming generation will only see in pictures what a horse tonga looked like leave aside their knowing what a typical and joyful experience one has riding on a horse tonga. They are fun to ride in! Urbanization should not kill our heritage! 

The picture below shows a typical Indian horse tonga on Dehradun road some year back.

When Europe and Canada and many other developed countries have horse driven carriage (Horse Tongas) for tourists as part of their tourism there was no need to phase them out from the Doon Valley whose geographical terrain are most suited to this mode of transport. Infact in all tourist places of Uttarakhand Horse tongas should be brought back. So many funky things are being tried to promote tourism but the government is overseeing something which can be a star attraction both among the rich and the ordinary class of people if brought back on the streets with some glamour. It can also be a good revenue earner for the tourism department and a means of livelihood for many. Uttarakhand Government should seriously think on this and revive the horse tonga's in the Doon.

Picture below shows horse tonga's with tourists in the midst of today's hi-tech cars on a Canadian street. When these advanced countries can do it why not India? There is a need to think out of box!

Well the picture below is on the lighter side. I do not mean this when I wrote in the lines above that the State government should add some glamour to horse tongas in their revival in the town!

Readers react with your views if you think this holds any good.

Indian Online Luxury market to touch USD 35 billion mark by 2016

Indians are likely to spend USD 35 billion on online luxury stores by 2016, compared to USD 8 billion in 2012 growing at an compound annual growth rate of about 25%, due to rise in disposable incomes, expansion of modern retailing and influence of western culture have provided a platform for promising growth for luxury industry in India, reveals Associated Chambers of Commerce and Industry of India study.

According to the study, luxury shoppers are well-connected digitally and it becomes easier for brands to showcase themselves online. Online path helps brand to educate potential consumers about luxury products.

With deals or discounts, cash-on-delivery, EMI schemes and easy return policies, online shopping has offered luxury brands a new platform to engage and entice  customers the report pointed out.

The major key growth drivers are rising income level which leads to a change in spending patterns and creating good business opportunities in India, reveals the study.

Earlier only youngsters were experimenting with buying stuff from internet. Now, even the mature customer is also getting accustomed to e-commerce. Luxury products sold online include apparels, stylish accessories, watches and high end electronics. Most of these products are offered for sale at online portals at a price that is incomparable and certainly benefits the middle class audience too, adds the study.

With more than 140 million internet users, India is the third largest internet market in the world.  The rising middle class is the biggest driver of the online retail growth. As per the findings, with more than 75% of the internet users under the age of 35, India is one of the world’s youngest internet populations.

E-commerce is expanding the Indian luxury market, as online access and competitive pricing bring hitherto unattainable brands and products within the reach of consumers in the country's lower-tier cities, it is seen.

The global online luxury market is predicted to more than double between now and 2020 as major brands continue to increase their range availability on the web, with pure-plays set to outpace the sector as a whole.

The optimistic outlook is anticipated to continue in the luxury sector spanning products such as apparels, home decor, pens, watches, jewellery, wines & spirits, spas and even yachts - a heady mix of both lifestyle and individuality-defining products. Apparel, Cars and electronics are among the most attractive segments across the Indian market. The Benzs, BMWs, Rolls Royces, Audis, Jaguars are not rare sights in metros.

According to study, the luxury designer clothing market in India grew 35% to Rs 13,230 crore in 2012 and likely to touch Rs. 32,000 crore by the end of 2015. Luxury electronic gadgets growing at 38.5%, and the luxury jewellery market at 42%.

Some of the significant players who performed well in 2014 included – GUCCI, Christian Dior, Louis Vuitton, Ocean Style Yachting, Canali India, L’Oreal Luxe India, LVMH India, Judith Leiber, The Phenix Mills, The SPA Group, Geetanjali Group, The Bauers, Starwood Asia Pacific Hotels & Resorts, Da Milano Leathers, Reliance Brands, Hidesign and others.

Indian consumers’ love for luxury brands and these platforms offering them at discounted rates has also led to people taking to the online shopping platforms, it is seen these days.