More job creation in the industry and service sector needed - NITI Aayog vice-chairman Arvind PanagariyaMay 19, 2015 11:46
Understanding the limitations of the agriculture sector in bringing prosperity in the long run, the country should emphasis on creating more employment in industrial and services sectors, NITI Aayog vice-chairman Arvind Panagariya said. A recent survey by the NGO Lokniti, stated 62 percent of all farmers said that they will quit farming if they get a job in the city. 76 percent of their children say that they would like to take a profession other than farming.
“But in the longer run, the potential of agriculture to bring prosperity to a vast population remains limited. In sum, agricultural growth and expansion of good jobs in industry and services can go hand-in-hand to bring the rapid elimination of poverty and shared prosperity for all,” Panagariya said.
“In countries experiencing growth rates of 6 percent or more over long periods, industry and services have grown substantially faster than agriculture. In this context that the creation of good jobs in industry and services is critically important,” he added. NITI Aayog vice-chairman, said that even Indian farmers and their children recognize the superior prospects offered by faster-growing industry and services, quoting the survey by the NGO Lokniti.
"It is in recognition of these aspirations that while reorienting public investment in agriculture towards productivity-enhancing items such as micro irrigation, soil cards, effective extension services and improved seeds, the government has paid special attention to creating jobs in industry and services. Unless workers have the opportunity to migrate to better paid jobs in these sectors, they will be unable to fully share in the prosperity experienced by a fast-growing economy," Panagariya said.
"There can be little disagreement that the fastest relief to the poor in India would come from productivity growth in agriculture. This is where nearly half of the workforce is employed. With the share of agriculture in the GDP at about 15 percent now, this half of the workforce is also significantly poorer than the other half, employed in industry and services," he added.