Govt aims to raise auto sector contribution to GDP, job creation: Gadkari

The government looks to increase the contribution of the automobile sector to India’s GDP to 12 per cent from the present 7.1 per cent and grow employment generation to 50 million from the current 37 million, Union minister Nitin Gadkari said on Wednesday.

Addressing the SIAM’s annual convention virtually, Gadkari further said the automobile industry is a vital player in India’s vision to become a USD 5 trillion economy.

“The Automotive Mission Plan of the Government of India is to set a goal to raise the contribution of the automobile sector towards nation GDP to 12 per cent and generate about 50 million new jobs,” he said.

The road transport and highways minister said the Indian automotive industry is a key driver of economic growth in the country.

The contribution of the automobile sector to the overall GDP of India stands at 7.1 per cent and 49 per cent of the manufacturing GDP, with an annual turnover of Rs 7.5 lakh crores and export of Rs 3.5 lakh crores.

According to Gadkari, it is estimated that 37 million jobs, directly and indirectly, are supported by the industry.

The minister said the government is working towards making the country the Number 1 global automobile manufacturing hub in the coming years.

He mentioned that many multinational automotive brands are now available in India.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

1 Govt aims to raise auto sector contribution to GDP, job creation: Gadkari
Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Leave a Reply

Your email address will not be published. Required fields are marked *