New Delhi, Jul 21: Discussions in the Confederation of Indian Industry (CII) session on '10% GDP Growth by 2014: Imperatives and Impediments" concluded that India has the capacity to post a double-digit growth with collective growth of various sectors such as industrial, corporate, and services, but the what remained to be seen as a key contributor was agriculture sector.
Applauding the government for overcoming several road blocks on its journey towards the positive and quick growth, K M Chandrasekhar, Cabinet Secretary said that sustained double digit GDP growth is largely contingent on the farm sector achieving sustained 4 per cent GDP growth over the coming years.
He also stressed on creating and meeting the rural demand before pointing out that the rural and the agrarian society of the country was indeed the backbone of the Indian economy when the global markets collapsed leading to a massive dip in exports.
The GDP will be guided upwards by higher corporate investments, tax reforms, rationalisation of subsidies in different business sectors, holistic management of agriculture, efficient water management and particular focus on agriculture in the eastern states, deepening of the financial markets, and major focus on physical infrastructure development, he added.
While Sudha Pillai, Member Secretary of Planning Commission, echoed the view that agriculture needs to go east, Ashok Chawla, the Finance Secretary of the government said that 10 per cent GDP growth is an imperative for poverty alleviation and to achieve this "key contributors" including agriculture will have to grow at 4 per cent, industry at 12 per cent and services at 10.5 per cent.