Retrospection of the Manufacturing Sector’s Growth in Uttarakhand

,Rajinder Singh

doi:10.47191/jefms/v4-i9-02

Abstract

The Manufacturing sector is an essential sector for developing economies as well as developed economies. It contributes to every aspect of the economy regarding its contribution to gross domestic product and employment generation. The present study is to examine the growth of the manufacturing sector of Uttarakhand. The secondary data used in the study was collected from the central statistical office and states economics and statistics departments to estimate manufacturing sectors’ contribution. The Kendall Tau and sen’s estimator are used to find the trend in the manufacturing sector’s contribution to nominal and real gross state domestic product of Uttarakhand. The study shows that the growth of Uttarakhand’s manufacturing sector was higher in Phase I (base year 2004-05) estimation, while the growth rate of the manufacturing sector of Uttarakhand was lower in Phase II (base year 2011-12) estimation. During the study period, the growth of the manufacturing sector shows a decreasing trend in Uttarakhand’s real and nominal Gross State Domestic Product (GSDP) in Phase I, while it was stable during Phase II.

Highlights

The manufacturing industries, with their sophisticated techniques and high level of productivity, were seen to be a source of both swiftly rising living standards and national prestige in the developed countries (Myrdal 1968)
The manufacturing sector is an important sector for developing and developed economies. It contributes to every aspect of the economy regarding its contribution to gross domestic product and employment generation
The growth of manufacturing was the all time high, but after that; the growth of manufacturing sector has been decreasing, which is the cause of concern

Summary

INTRODUCTION

The manufacturing industries, with their sophisticated techniques and high level of productivity, were seen to be a source of both swiftly rising living standards and national prestige in the developed countries (Myrdal 1968). Manufacturing holds a significant position in the Indian economy, accounting for nearly 16 percent of real Gross Domestic Product (GDP) in the financial year 2012 and employing about 12.0 percent of India’s labour force. The growth of the manufacturing sector increased in the initial years of study. Its growth over the previous year’s decreased drastically, which is the cause of concern for the state of Uttarakhand. According to the Department for Promotion of Industry and Internal Trade (DPIIT), Gross State Domestic Product (GSDP) expanded at a Compound Annual Growth Rate (CAGR) of 10.94 percent to Rs 2.93 trillion (US$ 41.99 billion). 2018-19 secondary sector is the highest contributor of state GDP, which contributed 48.93% with a growth rate of 6.94% over the previous year. The present study is a analysis of the growth of the manufacturing sector in nominal and real gross state domestic product of Uttarakhand and studies the manufacturing sector's growth in Uttarakhand

LITERATURE REVIEW

RESEARCH METHODOLOGY

Findings

CONCLUSION