Export of Services key for job creation and entrepreneurship

 The Dollar Business Bureau “Export of services has a direct bearing in creating more jobs locally and driving entrepreneurial spirit as well” said Nirmala Sitharaman, Minister of State (Independent Charge), Commerce & Industry. Ms Sitharaman was speaking at a Consultative Committee meeting of Parliament on Friday. She said that services play an important role in the development of many economies of the world. It is not only service sectors that are large employers in many countries; many services are critical inputs in local production and trade. The Minister also noted that apart from being a foreign exchange earner, services sector has a critical role in the inclusive growth paradigm of the country – in terms of providing significant employment opportunities.   Sitharaman said Indian system has always churned out high quality professionals on par with the global standards and such human resources is abundant in India. Citing her recent interactions with the officials of Kenya and Myanmar, Sitharaman said that the Indian government had offered all the assistance to set up healthcare facilities in both the countries in addition to providing doctors and medical professionals. In this regard, she cited the example of her recent visit to Myanmar where India has offered all help to set up facilities for healthcare including Indian doctors and medical professionals. She also informed that a similar request has also been put forward by Kenya for assistance in services sector. Recognising the fact that better services improve the competitiveness of manufacturing in international trade via reduced costs the Minister stressed on the role of services in the success of “Make in India” campaign.  The Minister also questioned that when services constitute 57% of our GDP, why should our share in world exports of services remain at a low level 3.24%? She emphasized the need to focus on the service sector and to identify the key barriers faced by different types of services and then to undertake specific reforms.  

This article was published on February 21, 2015.