Account for the failure of manufacturing sector in achieving the goal of labour-intensive exports rather than capital-intensive exports. Suggest measures for more labour-intensive rather than capital-intensive exports

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 The failure of the manufacturing sector in achieving the goal of labor-intensive exports rather than capital-intensive exports can be attributed to several reasons, including:

  1. Lack of investment in human capital development: There is often a lack of investment in education, training and skill development programs for workers, which results in low productivity and competitiveness.

  2. Outdated technology: In many countries, the manufacturing sector still relies on outdated technology, which reduces productivity and competitiveness.

  3. Poor infrastructure: Poor infrastructure, such as inadequate transportation systems, can increase the cost of production and reduce competitiveness in the global market.

  4. Global competition: The globalization of the economy has resulted in increased competition from countries with lower labor costs and higher productivity.

  5. Limited market access: Many countries face trade barriers and limited market access, which makes it difficult for their labor-intensive industries to compete in the global market.

  6. Government policies: Government policies that promote capital-intensive industries, such as tax incentives and subsidies, can contribute to the failure of the manufacturing sector to achieve the goal of labor-intensive exports.


Suggest measures for more labour-intensive rather than capital-intensive exports
  • To double agricultural exports from present ~US$ 30+ Billion to ~US$ 60+ Billion by 2022 and reach US$ 100 Billion in the next few years thereafter, with a stable trade policy regime.
  • To diversify our export basket, destinations and boost high value and value added agricultural exports including focus on perishables.
  • To promote novel, indigenous, organic, ethnic, traditional and non-traditional Agri products exports.
  • To provide an institutional mechanism for pursuing market access, tackling barriers and deal with sanitary and phyto-sanitary issues.
  • To strive to double India’s share in world agri exports by integrating with global value chain at the earliest.
  • Enable farmers to get benefit of export opportunities in overseas market.

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