PM sees 7.5% growth in next decade

'Another green revolution needed'

Visualising 7.5 per cent growth in the next decade, Prime Minister Manmohan Singh today said India needed a second green revolution and that he would like to see world-class infrastructure by the end of his term in office.

Speaking at the ninth Indira Gandhi Conference, he said compared with a near zero rate of growth of national income per year in the period 1900-1950, the Indian economy registered 3.5 per cent growth between 1950 and 1980 and over 5.5 per cent per annum between 1980 and now.

"Given this track record, I do not see why the next decade cannot record 7.5 per cent growth if we manage our resources well. This is do-able," Singh said.

To attain this, he laid stress on pushing up agriculture growth, which has been lagging so far. "India needs a second green revolution aimed at increasing the return on investment and the productivity of both land and labour in agriculture. India's villages must thrive. The farm economy must become robust and competitive. This is a national priority for us," he said.

Strongly advocating a renewed bout of economic dynamism, he said there were many across the world who wanted India to prosper.

Singh also emphasised the need for improving the infrastructure in the country. "By the end of my term in office, I would like to see world-class power generation, highways, ports and airports, and banking and communications infrastructure," he said.

"We must replace our 'make-do' attitude with a 'can-do' spirit," Singh said, adding, "This is particularly important for the acceleration of growth of our manufacturing sector."

Observing that the country had witnessed a decline in manufacturing competitiveness vis-a-vis China in the past two decades, he said, "We cannot afford to lag behind developing Asia in the manufacturing sphere."

To attain accelerated growth, Singh said India also needed a renewed bout of economic dynamism and a new wave of investment based on entrepreneurship and creativity.

Referring to the new generation of entrepreneurs, he said, "We must enable their creativity, enterprise... We have to put in place a policy framework which rewards entrepreneurship, innovation and creativity."

Referring to the globalisation process, the Prime Minister said, "Over the past decade, we have gradually managed to come out of our inward-looking shell to become more engaged with the world. This process must gather momentum."

"India must emerge as a major trading nation. Our share of world merchandise and services trade must reflect our capabilities and potential," he said.

High hopes

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• PM says India needs a second green revolution to increase productivity and return on investment
• Stresses need to improve the infrastructure in the country
• Says there is need for a renewed bout of economic dynamism and a change in attitude