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India: Showcasing Strengths In Services Sector

Ravi Capoor, Former CEO, IBEF

Apr 28, 2015 09:26

The recently organised Global Exhibition on Services (GES), held from April 23-25, 2015 at Pragati Maidan, showcased India’s strengths in various segments of the services sector and provided an efficient platform to the industry to explore business opportunities. The Exhibition was jointly organised by Ministry of Commerce and Confederation of Indian Industry (CII). Attracting participation from around 63 countries and 18 States, the Exhibition was inaugurated by Mr Narendra Modi, Prime Minister of India. GES 2015 was organised to serve as a platform to enhance strategic cooperation and develop synergies between the players of the services sector in India with its global counterparts. The Prime Minister said that India had made the transformation from a country worried about its "brain-drain," to a country that thinks of "brain-gain". Stating that human resource is India's biggest asset, he added that India's development journey should focus on the 65 per cent of its population which is below the age of 35 and mentioned sectors like nursing, high-end financial services, arbitration, tourism, music and vegetarian cooking as examples of what India had to offer to the world, besides the already established IT and other core sectors.

India has seen rapid growth in the services sector and the market sector has improved from 1 per cent to 3.3 per cent in 2003 over a period of around 12 years. Ms Nirmala Sitharaman, Minister of State for Commerce and Industry (Independent Charge), Government of India said that services sector would provide the impetus for the future of Indian growth story. Currently, services sector contributes 57 per cent of GDP, 1/4th of employment and 1/3rd of the total exports of the country. In fact, Indian growth has been led by the services sector as in 2013-14 while the services export was US$ 150 billion, the services import was US$ 78 billion, thus resulting in a services export surplus of US$ 73 billion. Moving forward, as the global economy will look for skilled manpower, India has the capability to become a crucial provider of this resource. The PM mentioned that there is a need to understand the needs of our trading partners and accordingly tailor our skills supply to meet their requirements and India could become a hub for global arbitration with changes in the legal system.

The government has zeroed in on 10 services including IT, media and entertainment, logistics, healthcare, education, space, research and development, professional services and banking and finance to showcase India’s prowess in the sector. The first edition of the GES was very successful and the event has been made an annual exhibition with the GES 2016 scheduled to be held in February 2016.