A PROJECT REPORT ON “STUDY GLOBALISATION AND ITS IMPACT ON INDIAN INDUSTRIES” SUBMITED TO UNIVERSITY OF MUMBAI FOR THE DEGREE OF MASTER IN COMMERCES FACULTY = COMMERCE
SUB =RESEARCH METHODOLOGY
BY
MR.BHAVIN JAYVANT PATIL COLLEGE ROLL NO. EXAM SEAT NO.
SEM=III 2015-1
PROJECT GUIDE PRO.BARI SIR
P.L.SHROFF .L.S HROFF COLLEGE COLL EGE OF ARTS ! COMMERCE CHINCHANI
CHINCHANI TARAPUR EDUCATION SOCIETY’S
P.L.SHROF P. L.SHROFF F COLLEGE OF AR ARTS TS & COMMERCE CHINCHANI At & Post- Chinchani ,Tal-Dahanu Dist-Palghar, Pin -401 503
TO WHOMSOEVER IT MAY CONCERN
This is to certify that Name
!ha"in #ay"ant #ay"ant Patil
Class &$em
%Com '(art )*
+oll No
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No" )015
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+esearch %etho/ology
To(ic S"#$% G&'()&*+)"*', A,$ I"+ I)/" O, I,$*), I,$#+"*+ . as com(lete/ the ao"e (ro.ect un/er our gui/ance as (er curriculum of uni"ersity of %umai To the est of our no2le/ge hisher 2or is original & he she ha"e /one an ecellent 2or
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INDE+ SR NO.
TOPIC
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INTRODUCUTION
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DECLARATION
A/NOWLEDGEMENT
0 1
RESEARCH METHODOLOGY MEANING
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O34ECTIVE
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Mar6t R7ar(# !n N!6ia
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3I3LIOGRAPHY
P.L.SHROFF COLLEGE OF ARTS & COMMERCE
DECLARATION the un/ersigne/ MR. 3HAVIN 4AYVANT PATIL here y,
/eclare that this (ro.ect 2or entitle/ 67loalisation an/ its im(act on in/ian in/ustries8 is result of my o2n research an/ has not een (re"iously sumitte/ to any other uni"ersity for any other eamination here y further has een otaine/ her /eclare that all information of this /ocument has een otaine/ an/ (resente/ in accor/ance 2ith aca/emic rules an/ ethical con/uct
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A/NOWLEDGEMENT nitially ,it 2as a thought ,then it 2as an o((ortunity, later it ecome a challenge an/ no2 it is succee/e/ of course en.oye/ my research re(ort on
=7tu%; !" g$!>a$i7ati!n
an% it7 i'*a(t !n in%ianin%u7tri7 ?. i 2oul/ lie to than uni"ersity of %umai for (ro"i/ing me the o((ortunity to e(ress my "ie2 on this to(ic A s(ecial thans to our (rinci(le DrP$+aut for gi"ing us a o((ortunity to /o this (ro.ect graceful my (ro.ect gui/e (rof!ari sir .for allotting me the (ro.ect 2here coul/ learn so much eten/e/ my s(ecial thans to all (rofessors of the college for gi"ing me a/"ises an/ suggestions An/ last ut not the least am thanful to all those 2ho hel(e/ me /irectly an/ in/irectly in successful com(letion of my (ro.ect
INDE+
SR. NO.
TOPIC
1
DECLARATION
)
A/NOWLEGEMENT
3
RESEARCH RETHODOLOGY
4
INTRODUCTION
5
O34ECTIVE
2
DATA ANALYSIS
5
3I3LIOGRAPHY
RESEARCH METHODOLOGY
9
+esearch metho/ology is a metho/ology for collecting all sort of information an/ /ata (ertaining to o.ecti"e is to eamine all the issues in"ol"e/ an/ con/uct situational analysis the metho/ology i nc lu /e s t he o "e ra ll r es ea rc h / es ig n, s am (l in g ( ro ce /u re a n/ fiel/2or /one an/ finally the analysis (roce/ure the metho/ology use in the stu/y consistent of sam(le sur"ey using oth (rimary an/ secon/ary /ata The (rimary /ata has een collecte/ 2ith the hel( of internet an/ maga:ine, .ournals ,as 2ell as (ersonal oser"ation oo ha"e een referre/ for secon/ary /ata
INTRODUCTION
7loali:ation 'or gloali:ation* /escries a (rocess y 2hich regional economies, societies, an/ cultures ha"e ecome integrate/ through a gloal net2or of communication, trans(ortation, an/ tra/e The term is sometimes use/ to refer s(ecifically to economic gloali:ation; the integration of national economies into the international economy through tra/e, foreign /irect in"estment, ca(ital flo2s, migration, an/ the s(rea/ of technology 7loali:ation as a s(atial integration in the s(here of social relations 2hen he sai/ 67loali:ation can e /efine/ as the intensification of 2orl/2i/e social relations 2hich lin /istant locations in such a 2ay that local ha((enings are sha(e/ y e"ents occurring many miles a2ay an/ "ice < "ersa8 7loali:ation generally means integrating economy of our nation 2ith the 2orl/ economy The economic changes initiate/ ha"e ha/ a /ramatic effect on the o"erall gro2th of the economy t also heral/e/ the integration of the n/ian economy into the gloal economy The n/ian economy 2as in ma.or crisis in 1==1 2hen foreign currency reser"es 2ent /o2n to >1 illion 7loali:ation ha/ its im(act on "arious sectors inclu/ing Agricultural, n/ustrial, ?inancial, ealth sector an/ many others t 2as only after the @P7 (olicy ie @ierali:ation, Pri"ati:ation an/ 7loali:ation launche/ y the then ?inance %inister %an %ohan $ingh that n/ia sa2 its /e"elo(ment in "arious sectors
O34ECTIVE@ ,. T! 7tu%; #! g$!>a$i7ati!n ar *$a;ing 77ntia$ r!$ "!r In%ian in%u7tr; an%(!n!';.
HYPHOTHESIS B !efore starting stu/y thin gloali:ation is only 2elcoming (rocess of %NCs an/ they only for coming only for /oing usiness an/ mae a (rofit ut 2hen start stu/y aout it un/erstan/ gloali:ation are (laying "ital an/ essential role in enhancing economic health of e"ery country 2hich is relating 2ith gloali:ation acti"ity
DATA ANALYSIS 3/"+ '4 G&'()&*)"*', ', I,$*), I,$#+"% started when the government oened the !o"ntr#$s mar%ets to &ore'gn 'nvestments 'n the ear(# )**+s. G(o,a('-at'on o& the nd'an nd"str# too% (a!e 'n 'ts var'o"s se!tors s"!h as stee(/ harma!e"t'!a(/ etro(e"m/ !hem'!a(/ te0t'(e/ !ement/ reta'(/ and B1O. G(o,a('-at'on means the d'smant('ng o& trade ,arr'ers ,etween nat'ons and the 'ntegrat'on o& the nat'ons e!onom'es thro"gh 2nan!'a( 3ow/ trade 'n goods and serv'!es/ and !ororate 'nvestments ,etween nat'ons. G(o,a('-at'on has 'n!reased a!ross the wor(d 'n re!ent #ears d"e to the &ast rogress that has ,een made 'n the 2e(d o& te!hno(og# ese!'a((# 'n !omm"n'!at'ons and transort. The government o& nd'a made !hanges 'n 'ts e!onom'! o('!# 'n )**) ,# wh'!h 't a((owed d're!t &ore'gn 'nvestments 'n the !o"ntr#. As a res"(t o& th's/ g(o,a('-at'on o& the nd'an nd"str# too% (a!e on a ma4or s!a(e. The var'o"s ,ene2!'a( e5e!ts o& g(o,a('-at'on 'n nd'an nd"str# are that 't ,ro"ght 'n h"ge amo"nts o& &ore'gn 'nvestments 'nto the 'nd"str# ese!'a((# 'n the B1O/ harma!e"t'!a(/ etro(e"m/ and man"&a!t"r'ng 'nd"str'es. As h"ge amo"nts o& &ore'gn d're!t 'nvestments were !om'ng to the nd'an nd"str#/ the# ,oosted the nd'an e!onom# 6"'te s'gn'2!ant(#. The ,ene2ts o& the e5e!ts o& g(o,a('-at'on 'n the nd'an nd"str# are that man# &ore'gn !oman'es set " 'nd"str'es 'n nd'a/ ese!'a((# 'n the harma!e"t'!a(/ B1O/ etro(e"m/ man"&a!t"r'ng/ and !hem'!a( se!tors and th's he(ed to rov'de em(o#ment to man# eo(e 'n the !o"ntr#. Th's he(ed red"!e the (eve( o& "nem(o#ment and overt# 'n the !o"ntr#. A(so the ,ene2t o& the E5e!ts o& G(o,a('-at'on on nd'an nd"str# are that the &ore'gn !oman'es ,ro"ght 'n h'gh(# advan!ed te!hno(og# w'th them and th's he(ed to ma%e the nd'an nd"str# more te!hno(og'!a((# advan!ed. The var'o"s negat've E5e!ts o& G(o,a('-at'on on nd'an nd"str# are that 't 'n!reased !omet't'on 'n the nd'an mar%et ,etween the &ore'gn !oman'es and domest'! !oman'es. 7'th the &ore'gn goods ,e'ng ,etter than the nd'an goods/ the !ons"mer re&erred to ,"# the &ore'gn goods. Th's red"!ed the amo"nt o& ro2t o& the nd'an nd"str# !oman'es. Th's haened ma'n(# 'n the harma!e"t'!a(/ man"&a!t"r'ng/ !hem'!a(/ and
stee( 'nd"str'es. The negat've E5e!ts o& G(o,a('-at'on on nd'an nd"str# are that w'th the !om'ng o& te!hno(og# the n"m,er o& (a,or re6"'red de!reased and th's res"(ted 'n man# eo(e ,e'ng removed &rom the'r 4o,s. Th's haened ma'n(# 'n the harma!e"t'!a(/ !hem'!a(/ man"&a!t"r'ng/ and !ement 'nd"str'es. The e5e!ts o& g(o,a('-at'on on nd'an nd"str# have roved to ,e os't've as we(( as negat've. The government o& nd'a m"st tr# to ma%e s"!h e!onom'! o('!'es w'th regard to nd'an nd"str#$s G(o,a('-at'on that are ,ene2!'a( and not harm&"(. A$6," '4 N7 E/','*/ P'&*/% A&ter s"5er'ng a h"ge 2nan!'a( and e!onom'! !r's's Dr. Man Mohan S'ngh ,ro"ght a new o('!# wh'!h 's %nown as L',era('-at'on/ 1r'vat'-at'on and G(o,a('-at'on 1o('!# 8L1G 1o('!#9 a(so %nown as New E!onom'! 1o('!#/)**) as 't was a meas"re to !ome o"t o& the !r's's that was go'ng on at that t'me. The &o((ow'ng meas"res were ta%en to (',era('-e and g(o,a('-e the e!onom#: Deva("at'on: To so(ve the ,a(an!e o& a#ment ro,(em nd'an !"rren!# were deva("ated ,# ); to)*<. D's'nvestment: To ma%e the L1G mode( smooth man# o& the ",('! se!tors were so(d to the r'vatese!tor. A((ow'ng =ore'gn D're!t nvestment 8=D9: =D was a((owed 'n a w'de range o& se!tors s"!h asns"ran!e8>?<9/de&ense'nd"str'es8>?
&or ="rther ana(#s's we ta%e " ma!t o& G(o,a('-at'on on var'o"s se!tor o& nd'an E!onom#. I)/" '4 G&'()&*)"*', ', A:*/#&"#)& S/"' Agr'!"(t"ra( Se!tor 's the ma'nsta# o& the r"ra( nd'an e!onom# aro"nd wh'!h so!'o@e!onom'! r'v'(eges and der'vat'ons revo(ve and an# !hange 'n 'ts str"!t"re 's ('%e(# to have a !orresond'ng 'ma!t on the e0'st'ng attern o& So!'a( e6"'t#. The (',era('-at'on o& nd'as e!onom# was adoted ,# nd'a 'n )**). =a!'ng a severe e!onom'! !r's's/ nd'a aroa!hed the M= &or a (oan/ and the M= granted what 's !a((ed a str"!t"ra( ad4"stment (oan/ wh'!h 's a (oan w'th !erta'n !ond't'ons atta!hed wh'!h re(ate to a str"!t"ra( !hange 'n the e!onom#. Essent'a((#/ the re&orms so"ght to grad"a((# haseKumar et al. o"t government !ontro( o& the mar%et 8(',era('-at'on9/ r'vat'-e ",('! se!tor organ'-at'ons 8r'vat'-at'on9/ and red"!e e0ort s",s'd'es and 'mort ,arr'ers to ena,(e &ree trade 8g(o,a('-at'on9. G(o,a('-at'on has he(ed 'n: Ra's'ng ('v'ng standards/ A((ev'at'ng overt#/ Ass"r'ng &ood se!"r't#/ Generat'ng ,"o#ant mar%et &or e0ans'on o& 'nd"str# and serv'!es/ and Ma%'ng s",stant'a( !ontr',"t'on to the nat'ona( e!onom'! growth.
I)/" '4 G&'()&*)"*', ', I,$#+"*)& S/"'9 E5e!ts o& G(o,a('-at'on on nd'an nd"str# started when the government oened the !o"ntr#$s mar%ets to &ore'gn 'nvestments 'n the ear(# )**+s. G(o,a('-at'on o& the nd'an nd"str# too% (a!e 'n 'ts var'o"s se!tors s"!h as stee(/ harma!e"t'!a(/ etro(e"m/ !hem'!a(/ te0t'(e/ !ement/ reta'(/andB1O. G(o,a('-at'on means the d'smant('ng o& trade ,arr'ers ,etween nat'ons and the 'ntegrat'on o& the nat'ons e!onom'es thro"gh 2nan!'a( 3ow/ trade 'n goods and serv'!es/ and !ororate 'nvestments ,etween nat'ons. G(o,a('-at'on has 'n!reased a!ross the wor(d 'n re!ent #ears d"e to the &ast rogress that has ,een made 'n the 2e(d o& te!hno(og# ese!'a((# 'n !omm"n'!at'ons and transort. The government o& nd'a made !hanges 'n 'ts e!onom'! o('!# 'n )**) ,# wh'!h 't a((owed d're!t &ore'gn 'nvestments 'n the !o"ntr#. The ,ene2ts o& the e5e!ts o& g(o,a('-at'on 'n the nd'an nd"str# are that man# &ore'gn !oman'es set " 'nd"str'es 'n nd'a/ ese!'a((# 'n the harma!e"t'!a(/ B1O/ etro(e"m/ man"&a!t"r'ng/ and !hem'!a( se!tors and th's he(ed to rov'de em(o#ment to man# eo(e 'n the !o"ntr#. Th's he(ed red"!e the (eve( o& "nem(o#ment and overt# 'n the !o"ntr#. A(so the ,ene2t o& the E5e!ts o& G(o,a('-at'on on nd'an nd"str# are that the &ore'gn !oman'es ,ro"ght 'n h'gh(# advan!ed te!hno(og# w'th them and th's he(ed to ma%e the nd'an nd"str# more te!hno(og'!a((# advan!ed. The negat've E5e!ts o& G(o,a('-at'on on nd'an
nd"str# are that w'th the !om'ng o& te!hno(og# the n"m,er o& (a,or re6"'red de!reased and th's res"(ted 'n man# eo(e ,e'ng removed &rom the'r 4o,s. Th's haened ma'n(# 'n the harma!e"t'!a(/ !hem'!a(/ man"&a!t"r'ng/ and !ement 'nd"str'es.
I)/" ', F*,),/*)& S/"' Re&orms o& the 2nan!'a( se!tor !onst't"te the most 'mortant !omonent o& nd'as rogramme towards e!onom'! (',era('-at'on. The re!ent e!onom'! (',era('-at'on meas"res have oened the door to &ore'gn !omet'tors to enter 'nto o"r domest'! mar%et. nnovat'on has ,e!ome a m"st &or s"rv'va(. ='nan!'a( 'ntermed'ar'es have !ome o"t o& the'r trad't'ona( aroa!h and the# are read# to ass"me more !red't r's%s. As a !onse6"en!e/ man# 'nnovat'ons have ta%en (a!e 'n the g(o,a( 2nan!'a( se!tors wh'!h have 'ts own 'ma!t on the domest'! se!tor a(so. The emergen!es o& var'o"s 2nan!'a( 'nst't"t'ons and reg"(ator# ,od'es have trans&ormed the 2nan!'a( serv'!es se!tor &rom ,e'ng a !onservat've 'nd"str# to a ver# d#nam'! one. n th's ro!ess th's se!tor 's &a!'ng a n"m,er o& !ha((enges. n th's !hanged !onte0t/ the 2nan!'a( serv'!es 'nd"str# 'n nd'a has to (a# a ver# os't've and d#nam'! ro(e 'n the #ears to !ome ,# o5er'ng man# 'nnovat've rod"!ts to s"'t the var'ed re6"'rements o& the m'(('ons o& rose!t've 'nvestors sread thro"gho"t the !o"ntr#. Re&orms o& the 2nan!'a( se!tor !onst't"te the most 'mortant !omonent o& nd'as rogramme towards e!onom'! (',era('-at'on. Growth 'n 2nan!'a( serv'!es 8!omr's'ng ,an%'ng/ 'ns"ran!e/ rea( estate and ,"s'ness serv'!es9/ a&ter d''ng to .?< 'n >++F@+ ,o"n!ed ,a!% to ;.< 'n >++@+ and )+.*< 'n >++@+?. The moment"m has ,een ma'nta'ned w'th a growth o& )).)< 'n >++?@+. Be!a"se o& G(o,a('-at'on/ the 2nan!'a( serv'!es 'nd"str# 's 'n a er'od o& trans't'on. Mar%et sh'&ts/ !omet't'on/ and te!hno(og'!a( deve(oments are "sher'ng 'n "nre!edented !hanges 'n the g(o,a( 2nan!'a( serv'!es 'nd"str#.
I)/" ', E;'" ),$ I'" nd'a$s E0ort and mort 'n the #ear >++)@+> was to the e0tent o& F>/> and F;/F?> m'(('on rese!t've(#. Man# nd'an !oman'es have started ,e!om'ng rese!ta,(e (a#ers 'n the nternat'ona( s!ene. Agr'!"(t"re e0orts a!!o"nt &or a,o"t )F to );< o& tota( ann"a( o& ann"a( e0ort o& the !o"ntr#. n >+++@+) Agr'!"(t"ra( rod"!ts va("ed at more than IS J ?m'(('on were e0orted &rom the !o"ntr# >F< o& wh'!h was !ontr',"ted ,# the mar'ne rod"!ts a(one. Mar'ne rod"!ts 'n re!ent #ears have emerged as the s'ng(e (argest !ontr',"tor to the tota( agr'!"(t"ra( e0ort &rom the !o"ntr# a!!o"nt'ng &or over one 2&th o& the tota( agr'!"(t"ra( e0orts.
Cerea(s 8most(# ,asmat' r'!e and non@,asmat' r'!e9/ o'( seeds/ tea and !o5ee are the other rom'nent rod"!ts ea!h o& wh'!h a!!o"nts &ro near(# to )+< o& the !o"ntr'es tota( agr'!"(t"ra( e0orts.
A$6),"):+ '4 G&'()&*)"*', There 's an nternat'ona( mar%et &or !oman'es and &or !ons"mers there 's a w'der range o& rod"!ts to !hoose &rom. n!rease 'n 3ow o& 'nvestments &rom deve(oed !o"ntr'es to deve(o'ng !o"ntr'es/ wh'!h !an ,e "sed &or e!onom'! re!onstr"!t'on. Greater and &aster 3ow o& 'n&ormat'on ,etween !o"ntr'es and greater !"(t"ra( 'ntera!t'on has he(ed to over!ome !"(t"ra( ,arr'ers. Te!hno(og'!a( deve(oment has res"(ted 'n reverse ,ra'n dra'n 'n deve(o'ng !o"ntr'es. D*"+ '4 G&'()&*)"*',
The o"tso"r!'ng o& 4o,s to deve(o'ng !o"ntr'es has res"(ted 'n (oss o& 4o,s 'n deve(oed !o"ntr'es. There 's a greater threat o& sread o& !omm"n'!a,(e d'seases. There 's an "nder(#'ng threat o& m"(t'nat'ona( !ororat'ons w'th 'mmense ower r"('ng the g(o,e. =or sma((er deve(o'ng nat'ons at the re!e'v'ng end/ 't !o"(d 'nd're!t(# (ead to a s",t(e &orm o& !o(on'-at'on. K The n"m,er o& r"ra( (and(ess &am'('es 'n!reased &rom F <'n )*; to < 'n )***/ &"rther to < 'n >++. The &armers are dest'ned to d'e o& starvat'on or s"'!'de.
A C')*+', 7*" O" D6&'*,: C'#,"*+ Cons'der g(o,a( trade nd'as share o& wor(d mer!hand'se e0orts 'n!reased &rom .+< to .+< over the ast >+ #ears. Over the same er'od Ch'nas share has tr'(ed to a(most <. nd'as share o& g(o,a( trade 's s'm'(ar to that o& the 1h'(''nes an e!onom# ? t'mes sma((er a!!ord'ng to M= est'mates. Over the ast de!ade =D 3ows 'nto nd'a have averaged aro"nd +.< o& GD1 aga'nst < &or Ch'na and .< &or Bra-'(. =D 'n3ows to Ch'na now e0!eed IS J + ,'(('on ann"a((#. t 's on(# IS J ,'(('on 'n the !ase o& nd'a. nd'an e!onom# had e0er'en!ed ma4or o('!# !hanges 'n ear(# )**+s. The new e!onom'! re&orm/ o"(ar(# %nown as/ L',era('-at'on/ 1r'vat'-at'on and G(o,a('-at'on 8L1G mode(9 a'med at ma%'ng the nd'an e!onom# as &astest grow'ng e!onom# and g(o,a((# !omet't've. The ser'es o& re&orms
"nderta%en w'th rese!t to 'nd"str'a( se!tor/ trade as we(( as 2nan!'a( se!tor a'med at ma%'ng the e!onom# more e!'ent. 7'th the onset o& re&orms to (',era('-e the nd'an e!onom# 'n "(# o& )**)/ a new !hater has dawned &or nd'a and her ,'(('on ("s o"(at'on. Th's er'od o& e!onom'! trans't'on has had a tremendo"s 'ma!t on the overa(( e!onom'! deve(oment o& a(most a(( ma4or se!tors o& the e!onom#/ and 'ts e5e!ts over the (ast de!ade !an hard(# ,e over(oo%ed. Bes'des/ 't a(so mar%s the advent o& the rea( 'ntegrat'on o& the nd'an e!onom# 'nto the g(o,a( e!onom#. Th's era o& re&orms has a(so "shered 'n a remar%a,(e !hange 'n the nd'an m'ndset/ as 't dev'ates &rom the trad't'ona( va("es he(d s'n!e ndeenden!e 'n )*/ s"!h as se(& re('an!e and so!'a('st'! o('!'es o& e!onom'! deve(oment/ wh'!h ma'n(# d"e to the 'nward (oo%'ng restr'!t've &orm o& governan!e/ res"(ted 'n the 'so(at'on/ overa(( ,a!%wardness and 'ne!'en!# o& the e!onom#/ amongst a host o& other ro,(ems. Th's/ des'te the &a!t that nd'a has a(wa#s had the otent'a( to ,e on the &ast tra!% to roser't#. Now that nd'a 's 'n the ro!ess o& restr"!t"r'ng her e!onom#/ w'th as'rat'ons o& e(evat'ng herse(& &rom her resent deso(ate os't'on 'n the wor(d/ the need to seed " her e!onom'! deve(oment 's even more 'merat've. And hav'ng w'tnessed the os't've ro(e that =ore'gn D're!t nvestment 8=D9 has (a#ed 'n the ra'd e!onom'! growth o& most o& the So"theast As'an !o"ntr'es and most nota,(# Ch'na/ nd'a has em,ar%ed on an am,'t'o"s (an to em"(ate the s"!!esses o& her ne'gh,ors to the east and 's tr#'ng to se(( herse(& as a sa&e and ro2ta,(e dest'nat'on &or =D. G(o,a('-at'on has man# mean'ngs deend'ng on the !onte0t and on the erson who 's ta(%'ng a,o"t. Tho"gh the re!'se de2n't'on o& g(o,a('-at'on 's st'(( "nava'(a,(e a &ew de2n't'ons are worth v'ew'ng/ G"# Bra'n,ant: sa#s that the ro!ess o& g(o,a('-at'on not on(# 'n!("des oen'ng " o& wor(d trade/ deve(oment o& advan!ed means o& !omm"n'!at'on/ 'nternat'ona('-at'on o& 2nan!'a( mar%ets/ grow'ng 'mortan!e o& MNCs/ o"(at'on m'grat'ons and more genera((# 'n!reased mo,'('t# o& ersons/ goods/ !a'ta(/ data and 'deas ,"t a(so 'n&e!t'ons/ d'seases and o(("t'on. The term g(o,a('-at'on re&ers to the 'ntegrat'on o& e!onom'es o& the wor(d thro"gh "n'nh','ted trade and 2nan!'a( 3ows/ as a(so thro"gh m"t"a( e0!hange o& te!hno(og# and %now(edge. dea((#/ 't a(so !onta'ns &ree 'nter@ !o"ntr# movement o& (a,or. n !onte0t to nd'a/ th's 'm('es oen'ng " the e!onom# to &ore'gn d're!t 'nvestment ,# rov'd'ng &a!'('t'es to &ore'gn !oman'es to 'nvest 'n d'5erent 2e(ds o& e!onom'! a!t'v't# 'n nd'a/ remov'ng !onstra'nts and o,sta!(es to the entr# o& MNCs 'n nd'a/ a((ow'ng nd'an !oman'es to enter 'nto &ore'gn !o((a,orat'ons and a(so en!o"rag'ng them to set " 4o'nt vent"res a,road !arr#'ng o"t mass've 'mort (',era('-at'on rograms ,# sw't!h'ng over &rom 6"ant'tat've restr'!t'ons to tar'5s and 'mort d"t'es/ there&ore g(o,a('-at'on has ,een 'dent'2ed w'th the o('!# re&orms o& )**) 'n nd'a. The mortant Re&orm Meas"res 8Ste Towards (',era('-at'on r'vat'-at'on and G(o,a('-at'on9
nd'an e!onom# was 'n dee !r's's 'n "(# )**)/ when &ore'gn !"rren!# reserves had ("mmeted to a(most J) ,'(('on n3at'on had roared to an ann"a( rate o& ) er!ent 2s!a( de2!'t was ver# h'gh and had ,e!ome "ns"sta'na,(e &ore'gn 'nvestors and NRs had (ost !on2den!e 'n nd'an E!onom#. Ca'ta( was 3#'ng o"t o& the !o"ntr# and we were !(ose to de&a"(t'ng on (oans. A(ong w'th these ,ott(ene!%s at home/ man# "n&oreseea,(e !hanges swet the e!onom'es o& nat'ons 'n 7estern and Eastern E"roe/ So"th East As'a/ Lat'n Amer'!a and e(sewhere/ aro"nd the same t'me. These were the e!onom'! !om"(s'ons at home and a,road that !a((ed &or a !om(ete overha"('ng o& o"r e!onom'! o('!'es and rograms. Ma4or meas"res 'n't'ated as a art o& the (',era('-at'on and g(o,a('-at'on strateg# 'n the ear(# n'net'es 'n!("ded the &o((ow'ng: Deva("at'on: The 2rst ste towards g(o,a('-at'on was ta%en w'th the anno"n!ement o& the deva("at'on o& nd'an !"rren!# ,# );@)* er!ent aga'nst ma4or !"rren!'es 'n the 'nternat'ona( &ore'gn e0!hange mar%et. n &a!t/ th's meas"re was ta%en 'n order to reso(ve the BO1 !r's's D's'nvestment@n order to ma%e the ro!ess o& g(o,a('-at'on smooth/ r'vat'-at'on and (',era('-at'on o('!'es are mov'ng a(ong as we((. Inder the r'vat'-at'on s!heme/ most o& the ",('! se!tor "nderta%'ngs have ,eenP are ,e'ng so(d to r'vate se!tor D'smant('ng o& The nd"str'a( L'!ens'ng Reg'me At resent/ on(# s'0 'nd"str'es are "nder !om"(sor# ('!ens'ng ma'n(# on a!!o"nt'ng o& env'ronmenta( sa&et# and strateg'! !ons'derat'ons. A s'gn'2!ant(# amended (o!at'ona( o('!# 'n t"ne w'th the (',era('-ed ('!ens'ng o('!# 's 'n (a!e. No 'nd"str'a( arova( 's re6"'red &rom the government &or (o!at'ons not &a(('ng w'th'n > %ms o& the er'her# o& !'t'es hav'ng a o"(at'on o& more than one m'(('on. A((ow'ng =ore'gn D're!t nvestment 8=D9 a!ross a w'de se!tr"m o& 'nd"str'es and en!o"rag'ng non@de,t 3ows. The Deartment has "t 'n (a!e a (',era( and transarent &ore'gn 'nvestment reg'me where most a!t'v't'es are oened to &ore'gn 'nvestment on a"tomat'! ro"te w'tho"t an# ('m't on the e0tent o& &ore'gn ownersh'. Some o& the re!ent 'n't'at'ves ta%en to &"rther (',era('-e the =D reg'me/ 'nter a('as/ 'n!("de oen'ng " o& se!tors s"!h as ns"ran!e 8"to >?<9 deve(oment o& 'ntegrated townsh's 8"to )++<9 de&ense 'nd"str# 8"to >?<9 tea (antat'on 8"to )++< s",4e!t to d'vestment o& >?< w'th'n 2ve #ears to =D9 enhan!ement o& =D ('m'ts 'n r'vate se!tor ,an%'ng/ a((ow'ng =D " to )++< "nder the a"tomat'! ro"te &or most man"&a!t"r'ng a!t'v't'es 'n SEQs oen'ng " B>B e@!ommer!e nternet Serv'!e 1rov'ders 8S1s9 w'tho"t Gatewa#s e(e!tron'! ma'( and vo'!e ma'( to )++< &ore'gn 'nvestment s",4e!t to >?< d'vestment !ond't'on et!. The Deartment has a(so strengthened 'nvestment &a!'('tat'on meas"res thro"gh =ore'gn nvestment m(ementat'on A"thor't# 8=A9. Non Res'dent nd'an S!heme the genera( o('!# and &a!'('t'es &or &ore'gn d're!t 'nvestment as ava'(a,(e to &ore'gn 'nvestorsP Coman'es are &"((# a('!a,(e to NRs as we((. n add't'on/ Government has e0tended some !on!ess'ons ese!'a((# &or NRs and overseas !ororate ,od'es hav'ng more than ?+< sta%e ,# NRs Throw'ng Oen nd"str'es Reserved =or The 1",('! Se!tor to 1r'vate 1art'!'at'on. Now there are on(# three 'nd"str'es reserved &or the ",('!
se!tor A,o('t'on o& the 8MRT19 A!t/ wh'!h ne!ess'tated r'or arova( &or !aa!'t# e0ans'on .The remova( o& 6"ant'tat've restr'!t'ons on 'morts. The red"!t'on o& the ea% !"stoms tar'5 &rom over F++ er !ent r'or to the F+ er !ent rate that a('es now. 7'de@rang'ng &'nan!'a( se!tor re&orms 'n the ,an%'ng/ !a'ta( mar%ets/ and 'ns"ran!e se!tors/ 'n!("d'ng the dereg"(at'on o& 'nterest rates/ strong reg"(at'on and s"erv'sor# s#stems/ and the 'ntrod"!t'on o& &ore'gnPr'vate se!tor !omet't'on. The nove( Ta(e o& Two C't'es o& Char(es D'!%ens ,eg'ns w'th a '6"ant des!r't'on o& the !ontrad'!t'ons o& the t'mes: t was the ,est o& t'mes/ 't was the worst o& t'mes 't was the age o& w'sdom/ 't was the age o& &oo('shness 't was the eo!h o& ,e('e&/ 't was the eo!h o& 'n!red"('t# we had ever#th'ng ,e&ore "s/ we had noth'ng ,e&ore "s At the resent/ we !an a(so sa# a,o"t the ta(e o& two nd'as: 7e have the ,est o& t'mes we have the worst o& t'mes. There 's sar%('ng roser't#/ there 's st'n%'ng overt#. 7e have da--('ng 2ve star hote(s s'de ,# s'de w'th dar%ened '((@starred hove(s. 7e have ever#th'ng ,# g(o,a('-at'on/ we have noth'ng ,# g(o,a('-at'on. Tho"gh some e!onom'! re&orms were 'ntrod"!ed ,# the Ra4'v Gandh' government 8)*;@;*9/ 't was the Naras'mhaRao Government that gave a de2n'te shae and start to the new e!onom'! re&orms o& g(o,a('-at'on 'n nd'a. 1resent'ng the )**)@*> B"dget/ ='nan!e M'n'ster Manmohan S'ngh sa'd: A&ter &o"r de!ades o& (ann'ng &or 'nd"str'a('-at'on/ we have now rea!hed a stage where we sho"(d we(!ome/ rather &ear/ &ore'gn 'nvestment. D're!t &ore'gn 'nvestment wo"(d rov'de a!!ess to !a'ta(/ te!hno(og# and mar%et. n the Memorand"m o& E!onom'! 1o('!'es dated A"g"st >/ )**) to the M=/ the ='nan!e M'n'ster s",m'tted 'n the !on!("d'ng aragrah: The Government o& nd'a ,e('eves that the o('!'es set &orth 'n the Memorand"m are ade6"ate to a!h'eve the o,4e!t'ves o& the rogram/ ,"t w'(( ta%e an# add't'ona( meas"res aror'ate &or th's "rose. n add't'on/ the Government w'(( !ons"(t w'th the ="nd on the adot'on o& an# meas"res that ma# ,e aror'ate 'n a!!ordan!e w'th the o('!'es o& the ="nd on s"!h !ons"(tat'ons. The Government o& nd'a armed to 'm(ement the e!onom'! re&orms 'n !ons"(tat'on w'th the 'nternat'ona( ,an% and 'n a!!ordan!e o& 'ts o('!'es. S"!!ess've !oa('t'on governments &rom )**? to >++/ (ed ,# the anata Da( and B1/ adoted &a'th&"((# the e!onom'! o('!# o& (',era('-at'on. 7'th Manmohan S'ngh ret"rned to ower as the 1r'me M'n'ster 'n >++/ the e!onom'! o('!# 'n't'ated ,# h'm has ,e!ome the (odestar o& the 2s!a( o"t(oo% o& the government. T B*:" S*$ '4 G&'()&*)"*', The rate o& growth o& the Gross Domest'! 1rod"!t o& nd'a has ,een on the 'n!rease &rom .? er !ent d"r'ng )*;+@*+ to seven er !ent 'n the )**F@ >++) er'od. n the (ast &o"r #ears/ the ann"a( growth rate o& the GD1 was 'mress've at . er !ent 8>++F@+9/ ;. er !ent 8>++@+9/ n'ne er !ent 8>++@+?9 and *.> er !ent 8>++?@+9. 1r'me M'n'ster Manmohan S'ngh 's !on2dent o& hav'ng a )+ er !ent growth 'n the GD1 'n the E(eventh ='ve Year 1(an er'od. The &ore'gn e0!hange reserves 8as at the end o& the 2nan!'a( #ear9 were J F* ,'(('on 8>+++@+)9/ J )+ ,'(('on 8>++F@+9/ J ) ,'(('on 8>++@+?9 and J
);+ ,'(('on 8'n =e,r"ar# >++9. t 's e0e!ted that nd'a w'(( !ross the J >++ ,'(('on mar% soon. The !"m"(at've =D 'n3ows &rom )**) to Setem,er >++? were Rs.)/ ;)/?? !rores 8IS J F.>* ,'(('on9. The se!tors attra!t'ng h'ghest =D 'n3ows are e(e!tr'!a( e6"'ments 'n!("d'ng !om"ter so&tware and e(e!tron'!s 8); er !ent9/ serv'!e se!tor 8)F er !ent9/ te(e!omm"n'!at'ons 8)+ er !ent9/ transortat'on 'nd"str# 8n'ne er !ent9/ et!. n the 'n3ow o& =D/ nd'a has s"rassed So"th orea to ,e!ome the &o"rth (argest re!''ent. nd'a !ontro(s at the resent er !ent o& the g(o,a( o"tso"r!'ng mar%et w'th an est'mated 'n!ome o& J + ,'(('on. n rese!t o& mar%et !a'ta('-at'on 8wh'!h ta%es 'nto a!!o"nt the mar%et va("e o& a 6"oted !oman# ,# m"(t'(#'ng 'ts !"rrent share r'!e ,# the n"m,er o& shares 'n 'ss"e9/ nd'a 's 'n the &o"rth os't'on w'th J ;* ,'(('on a&ter the IS 8J )/+++ ,'(('on9/ aan 8J ;++ ,'(('on9 and Ch'na 8J )+++9. nd'a 's e0e!ted to soon !ross the tr'(('on do((ar mar%. As er the =or,es ('st &or >++/ the n"m,er o& ,'(('ona'res o& nd'a has r'sen to + 8&rom F? (ast #ear9more than those o& aan 8>9/ Ch'na 8)9/ =ran!e 8)9 and ta(# 8)9 th's #ear. A ress reort was 4",'(ant: Th's 's the r'!hest #ear &or nd'a. The !om,'ned wea(th o& the nd'an ,'(('ona'res mar%ed an 'n!rease o& ?+ er !ent &rom J )+? ,'(('on 'n >++? to J )+ ,'(('on 'n >++. The + nd'an ,'(('ona'res have assets worth a,o"t Rs. .+ (a%h !rores whereas the !"m"(at've 'nvestment 'n the *) 1",('! Se!tor Inderta%'ngs ,# the Centra( Government o& nd'a 's Rs. F.*F (a%h !rores on(#. T D)? S*$ '4 G&'()&*)"*', On the other s'de o& the meda(/ there 's a (ong ('st o& the worst o& the t'mes/ the &oremost !as"a(t# ,e'ng the agr'!"(t"re se!tor. Agr'!"(t"re has ,een and st'(( rema'ns the ,a!%,one o& the nd'an e!onom#. t (a#s a v'ta( ro(e not on(# 'n rov'd'ng &ood and n"tr't'on to the eo(e/ ,"t a(so 'n the s"(# o& raw mater'a( to 'nd"str'es and to e0ort trade. n )*)/ agr'!"(t"re rov'ded em(o#ment to > er !ent o& the o"(at'on and !ontr',"ted * er !ent o& the gross domest'! rod"!t. However/ ,# >++) the o"(at'on deend'ng "on agr'!"(t"re !ame to ; er !ent whereas the share o& agr'!"(t"re 'n the GD1 went down drast'!a((# to > er !ent and &"rther to >> er !ent 'n >++?@+. Th's has res"(ted 'n a (ower'ng the er !a'ta 'n!ome o& the &armers and 'n!reas'ng the r"ra( 'nde,tedness. The agr'!"(t"ra( growth o& F.> er !ent o,served &rom )*;+ to )** de!e(erated to two er !ent s",se6"ent(#. The Aroa!h to the E(eventh ='ve Year 1(an re(eased 'n De!em,er >++? stated that the growth rate o& agr'!"(t"ra( GD1 'n!("d'ng &orestr# and 2sh'ng 's ('%e(# to ,e ,e(ow two er !ent 'n the Tenth 1(an er'od. The reasons &or the de!e(erat'on o& the growth o& agr'!"(t"re are g'ven 'n the E!onom'! S"rve# >++?@+: Low 'nvestment/ 'm,a(an!e 'n &ert'('-er "se/ (ow seeds re(a!ement rate/ a d'storted 'n!ent've s#stem and (o ost@harvest va("e add't'on !ont'n"ed to ,e a drag on the se!tors er&orman!e. 7'th more than ha(& the o"(at'on d're!t(# deend'ng on th's se!tor/ (ow agr'!"(t"ra( growth has ser'o"s 'm('!at'ons &or the 'n!("s'veness o& growth. The n"m,er o& r"ra( (and(ess &am'('es 'n!reased &rom F er !ent 'n )*; to er !ent 'n )***/ &"rther to er !ent 'n >++. The &armers are dest'ned to d'e o& starvat'on or s"'!'de. Re(#'ng to the Short D"rat'on
D's!"ss'on on mort o& 7heat and Agrar'an D'stress on Ma# );/ >++?/ Agr'!"(t"re M'n'ster Sharad1awar 'n&ormed the Ra4#aSa,ha that ro"gh(# )/ ++/+++ &armers !omm'tted s"'!'de d"r'ng the er'od )**F@>++F ma'n(# d"e to 'nde,tedness. n h's 'nterv'ew to The nd'an E0ress on Novem,er )/ >++/ Sharad1awar sa'd: The &arm'ng !omm"n't# has ,een 'gnored 'n th's !o"ntr# and ese!'a((# so over the (ast e'ght to ten #ears. The tota( 'nvestment 'n the agr'!"(t"re se!tor 's go'ng down. n the (ast &ew #ears/ the average ,"dgetar# rov's'on &rom the nd'an Government &or 'rr'gat'on 's (ess than +.F er!ent. D"r'ng the ost@re&orm er'od/ nd'a has ,een sh'n'ng ,r'(('ant(# w'th a grow'ng n"m,er o& ,'(('ona'res. No,od# has ta%en note o& the s"5er'ngs o& the &am'(# mem,ers o& those "n&ort"nate h"ndred tho"sand &armers. ="rther/ the roort'on o& eo(e deend'ng 'n nd'a on agr'!"(t"re 's a,o"t ?+ < whereas the same &or the I 's > a da# 8the 7or(d Ban% meas"re o& overt#9 more than ha(& the eo(e 'n the deve(o'ng wor(d ('ve on (ess than that. t aears that 't 's ,etter to ,e a !ow 'n E"roe than to ,e a oor erson 'n a deve(o'ng !o"ntr#. D'"*,: A:*/#&"# The E!onom'! S"rve# reorts re(eased t'(( )**) !onta'ned the Chaters 'n the &o((ow'ng order: 8)9 ntrod"!t'on/ 8>9 Agr'!"(t"ra( 1rod"!t'on/ 8F9 nd"str'a( 1er&orman!e and 1o('!'es/ 89 n&rastr"!t"re/ 89 H"man Reso"r!es/ 8?9 1r'!es/ 1r'!e 1o('!# and 1",('! D'str',"t'on S#stem/ 89 ='s!a( 1o('!# and Government B"dget/ 8;9 Monetar# and Cred't Deve(oments/ 8*9 The E0terna( Se!tor and 8)+9 1ro,(ems and 1rose!ts. n the E!onom'! S"rve# )**)@*>/ ='nan!e M'n'ster Manmohan S'ngh re!ast the Chaters 'n the &o((ow'ng order: 8)9 ntrod"!t'on/ 8>9 1",('! ='nan!e/ 8F9 Mone# and Cred't/ 89 1r'!es and D'str',"t'on/ 89 Ba(an!e o& 1a#ments/ 8?9 nd"str#/ 89 Agr'!"(t"re/ 8;9 n&rastr"!t"re and 8*9 So!'a( Se!tors. t 's not %nown as to wh# the ='nan!e M'n'ster demoted the 'mortan!e o& agr'!"(t"re that has a,o"t *+ er !ent o"(at'on &rom the se!ond (a!e to the seventh 'n the ann"a( E!onom'! S"rve# o& the !o"ntr#. n a wa# does 't s#m,o('-e the (ow 'mortan!e de(',erate(# g'ven to the growth o& the agr'!"(t"re se!tor 'n the s!heme o& g(o,a('-at'on S")":% '4 G&'()&*)"*',
n the Reort 8>++?9 East As'an Rena'ssan!e/ 7or(d Ban% Adv'sor Drnderm't G'(( stated: C't'es are at the !ore o& a deve(oment strateg# ,ased on 'nternat'ona( 'ntegrat'on/ 'nvestment and 'nnovat'on. East As'a 's w'tness'ng the (argest r"ra(@to@"r,an sh'&t o& o"(at'on 'n h'stor#. Two m'(('on new "r,an dwe((ers are e0e!ted 'n East As'an !'t'es ever# month &or the ne0t >+ #ears. Th's w'(( mean (ann'ng &or and ,"'(d'ng d#nam'!/ !onne!ted !'t'es that are ('n%ed ,oth domest'!a((# and to the o"ts'de wor(d so that e!onom'! growth !ont'n"es and so!'a( !ohes'on 's strengthened. The mar%et e!onom# seems to ,e more !on!erned w'th the growth o& !ons"mer'sm to attra!t the h'gh 'n!ome gro"s who are most(# 'n the !'t'es 'n the deve(o'ng !o"ntr'es. R"ra( e!onom# and the agr'!"(t"ra( se!tor were o"t o& &o!"s 'n the strateg# o& g(o,a('-at'on.
G'7" '4 U,&'%," P'6"% The roort'on o& the "nem(o#ed to the tota( (a,or &or!e has ,een 'n!reas'ng &rom >.?> er !ent 8)**F@*9 to >.; er !ent 8)***@>+++9 and F.+? er !ent 8>++@+9. n a,so("te 2g"res/ the n"m,er o& "nem(o#ed had ,een 'n those #ears *.+> m'(('on/ )+.) m'(('on and )F.)+ m'(('on rese!t've(#. 8E!onom'! S"rve# >++?@+/ Ta,(e )+.9 n re(# to a 6"est'on/ the M'n'ster &or La,or and Em(o#ment 'n&ormed the Lo%Sa,ha on Mar!h )*/ >++/ that the enro(ment o& the "nem(o#ed 'n the Em(o#ment E0!hanges 'n >++?@+ was * (a%hs aga'nst the average o& ; (a%hs 'n the ast ten #ears. A,o"t the 'ma!t o& g(o,a('-at'on/ 'n art'!"(ar on the deve(oment o& nd'a/ the LO Reort 8>++9 stated: n nd'a/ there had ,een w'nners and (osers. The ('ves o& the ed"!ated and the r'!h had ,een enr'!hed ,# g(o,a('-at'on. The 'n&ormat'on te!hno(og# 8T9 se!tor was a art'!"(ar ,ene2!'ar#. B"t the ,ene2ts had not #et rea!hed the ma4or't#/ and new r's%s had !roed " &or the (osersthe so!'a((# der'ved and the r"ra( oor. S'gn'2!ant n"m,ers o& non@erenn'a( oor/ who had wor%ed hard to es!ae overt#/ were 2nd'ng the'r ga'ns reversed. 1ower was sh'&t'ng &rom e(e!ted (o!a( 'nst't"t'ons to "na!!o"nta,(e trans@nat'ona( ,od'es. 7estern er!et'ons/ wh'!h dom'nated the g(o,e med'a/ were not a('gned w'th (o!a( erse!t'ves the# en!o"raged !ons"mer'sm 'n the m'dst o& e0treme overt# and osed a threat to !"(t"ra( and ('ng"'st'! d'vers't#. S'/*)& S6*/+ A,o"t the 6"a('t# o& ed"!at'on g'ven to !h'(dren/ the Aroa!h to the E(eventh ='ve Year 1(an stated: A re!ent st"d# has &o"nd that F; er !ent o& the !h'(dren who have !om(eted &o"r #ears o& s!hoo('ng !annot read a sma(( aragrah w'th short senten!es meant to ,e read ,# a st"dent o& C(ass . A,o"t er !ent o& s"!h !h'(dren !annot d'v'de a three d'g't n"m,er ,# a one d'g't n"m,er. These are 'nd'!ators o& ser'o"s (earn'ng ro,(ems wh'!h m"st ,e addressed. The Aroa!h aer added &"rther: In'versa('sat'on o& ed"!at'on w'(( not s"!e 'n the %now(edge e!onom#. A erson w'th a mere e'ght #ears o& s!hoo('ng w'(( ,e as d'sadvantaged 'n a %now(edge e!onom# ,# CT as an '(('terate erson 'n modern 'nd"str# an serv'!es.
The (ess sa'd a,o"t the a!h'evements 'n hea(th the ,etter. The Aroa!h to the E(eventh 1(an !on!edes that rogress 'm(ement'ng the o,4e!t'ves o& hea(th have ,een s(ow. The Reort gave the art'!"(ars o& the rates o& 'n&ant morta('t# 8er )+++ ('ve ,'rths9 &or nd'a as ?+ aga'nst Sr' Lan%a 8)F9/ Ch'na 8F+9 and 'etnam 8)*9. The rate o& materna( morta('t# 8er )/ ++/+++ de('ver'es9 o& nd'a 's + aga'nst Sr' Lan%a 8*>9/ Ch'na 8?9 and 'etnam 8)F+9.
G'7" '4 S&# C)*")&+ n h's >++@+; B"dget See!h/ ='nan!e M'n'ster Ch'dam,aram "t &orth a roosa( to romote M"m,a' as a wor(d !(ass 2nan!'a( !entre and to ma%e 2nan!'a( serv'!es the ne0t growth eng'ne o& nd'a. O& 'ts )F m'(('on o"(at'on/ M"m,a' !'t# has er !ent 'n s("ms. t 's est'mated that )++ to F++ new &am'('es !ome to M"m,a' ever# da# and most (and " 'n a s("m !o(on#. 1ro& R. N. Sharma o& the Tata nst't"te o& So!'a( S!'en!e sa#s that M"m,a' 's d's'ntegrat'ng 'nto s("ms. =rom ,e'ng %nown as the s("m !a'ta( o& nd'a and the ,'ggest s("m o& As'a/ M"m,a' 's a(( set to ,e!ome the s("m !a'ta( o& the wor(d. The o"(at'on o& De(h' 's a,o"t ) m'(('on o& wh'!h near(# er !ent o"(at'on ('ves 'n s("ms/ "na"thor'-ed !o(on'es/ !("sters and "ndeve(oed r"ra( arts. D"r'ng dr# weather these s("m dwe((ers "se oen areas aro"nd the'r "n'ts &or de&e!at'on and the ent're h"man waste generated &rom the s("ms a(ong w'th the add't'ona( wastewater &rom the'r ho"seho(ds 's d's!harged "ntreated 'nto the r'ver Yam"na. The !"m"(at've =D 'n3ows 8"nt'( Setem,er >++?9 to the New De(h' reg'on was o& Rs. >/F?* !rores and to M"m,a' Rs. >/ !rores. The two sots o& New De(h' and M"m,a' re!e'ved ? er !ent o& the tota( =D 'n3ows 'nto nd'a. The =D 'n3ows have 'n no wa# ass'sted 'n 'mrov'ng the hea(th and env'ronment !ond't'ons o& the eo(e. On the other hand/ the 2nan!'a( !a'ta( o& nd'a and the o('t'!a( !a'ta( o& nd'a are set to ,e!ome the tomost s("m !'t'es o& the wor(d. V*/"*+ '4 G&'()&*)"*', N h's Ma%'ng G(o,a('-at'on 7or%/ No,e( La"reate St'g('t- wrote: Trade (',era('-at'onoen'ng " mar%ets to the &ree 3ow o& goods and serv'!es was s"osed to (ead to growth. The ev'den!e 's at ,est m'0ed. 1art o& the reason that 'nternat'ona( trade agreements have ,een so "ns"!!ess&"( 'n romot'ng growth 'n oor !o"ntr'es 's that the# were o&ten "n,a(an!ed. The advan!ed 'nd"str'a( !o"ntr'es were a((owed to (ev# tar'5s on goods rod"!ed ,# deve(o'ng !o"ntr'es that were/ on average/ &o"r t'mes h'gher that those on goods rod"!ed ,# other advan!ed 'nd"str'a( !o"ntr'es. n h's &oreword to The D#nam'!s and ma!t o& G(o,a('-at'on ,# Dr. M. . Lo"'s Anth"van/ "st'!e . R. r'shna #er o'nted o"t 'th'(#: The New 7or(d Order 's the rod"!t o& what 's now &am'('ar(# des!r',ed as g(o,a('-at'on/ (',era('-at'on and r'vat'-at'on. The wea%er se!tors ('%e the As'an and A&r'!an !o"ntr'es are v'!t'ms/ whose e!onom'! we(&are 's s(aver#/ at the d'sosa( o& the 7h'te wor(d. 7hen 7or(d 7ar !ame to a !(ose/ !ommer!'a( !on6"est and trade tr'"mh ,e!ame the ma4or goa( o& the In'ted States and the other g'ant trade owers. ndeed/ these m'ght#
!o"ntr'es and !oman'es even made wor(d h"nger as B'g B"s'ness. The oorer !o"ntr'es w'th nat"ra( reso"r!es have ,een made ,anana re",('!s and !"!"m,er vassa(s. The H"man Deve(oment Reort >++? re!orded: G(o,a('-at'on has g'ven r'se to a rotra!ted de,ate over the re!'se d're!t'on o& trends 'n g(o,a( 'n!ome d'str',"t'on. 7hat 's somet'mes (ost s'ght o& 's the sheer deth o& 'ne6"a('t#and the asso!'ated otent'a( &or greater e6"'t# to a!!e(erate overt# red"!t'on. Meas"red 'n the >+++ "r!has'ng ower ar't# 81119 terms/ the ga ,etween the 'n!omes o& the oorest >+ er !ent o& the wor(ds o"(at'on and the J ) a da# overt# ('ne amo"nts to a,o"t J F++ ,'(('on. That 2g"re aears (arge/ ,"t 't 's (ess than two er !ent o& the 'n!ome o& the wor(ds wea(th'est )+ er !ent. T' )? G&'()&*)"*', @'? Inder the henomena( growth o& 'n&ormat'on te!hno(og# wh'!h has shr"n% sa!e and t'me and red"!ed the !ost o& mov'ng 'n&ormat'on/ goods and !a'ta( a!ross the g(o,e/ the g(o,a('-at'on has ,ro"ght "nre!edented oort"n't'es &or h"man deve(oment &or a((/ 'n deve(o'ng as we(( as deve(oed !o"ntr'es. Inder the !ommer!'a( mar%et'ng &or!es/ g(o,a('-at'on has ,een "sed more to romote e!onom'! growth to #'e(d ro2ts to some !o"ntr'es and to some gro"s w'th'n a !o"ntr#. nd'a sho"(d a# 'mmed'ate attent'on to ens"re ra'd deve(oment 'n ed"!at'on/ hea(th/ water and san'tat'on/ (a,or and em(o#ment so that "nder t'me@,o"nd rogrammes the targets are !om(eted w'tho"t de(a#. A strong &o"ndat'on o& h"man deve(oment o& a(( eo(e 's essent'a( &or the so!'a(/ o('t'!a( and e!onom'! deve(oment o& the !o"ntr#. Tho"gh at resent nd'a aears to ,e dom'nant 'n some 2e(ds o& deve(oment as 'n T@TES/ th's roser't# ma# ,e !ha((enged ,# other !omet'ng !o"ntr'es wh'!h are e6"''ng themse(ves w'th ,etter standards o& h'gher ed"!at'on. As deta'(ed ear('er/ o"r rogress 'n ed"!at'on has ,een s(ow and s"er2!'a(/ w'tho"t deth and 6"a('t#/ to !omete the 'nternat'ona( standards. The government sho"(d ta%e 'mmed'ate stes to 'n!rease agr'!"(t"ra( rod"!t'on and !reate add't'ona( em(o#ment oort"n't'es 'n the r"ra( arts/ to red"!e the grow'ng 'ne6"a('t# ,etween "r,an and r"ra( areas and to de!entra('-e owers and reso"r!es to the an!ha#at' ra4 'nst't"t'ons &or 'm(ement'ng a(( wor%s o& r"ra( deve(oment. Stes sho"(d ,e ta%en &or ear(# ('n%'ng o& the r'vers/ ese!'a((# 'n the so"th@,o"nd ones/ &or s"(# o& the m"!h@needed water &or 'rr'gat'on. t sho"(d ,e remem,ered that w'tho"t a s"sta'na,(e and rod"!t've growth o& the agr'!"(t"ra( se!tor/ the other t#es o& deve(oment 'n an# shere w'(( ,e "nsta,(e and '(("sor#. Des'te the !on!erted deve(oment 'n man"&a!t"r'ng and serv'!e se!tors/ des'te the remar%a,(e 'n3ow and over3ow o& &ore'gn reserves/ agr'!"(t"re 's st'(( the (argest 'nd"str# rov'd'ng em(o#ment to a,o"t ?+ er !ent o& the wor%&or!e 'n the !o"ntr#. Mere growth o& the GD1 and others at the ma!ro (eve( 'n ,'(('ons does not so(ve the !hron'! overt# and ,a!%ward (eve( o& ('v'ng norms o& the eo(e at the m'!ro (eve(. The growth sho"(d ,e s"sta'na,(e w'th h"man deve(oment and de!ent em(o#ment otent'a(. The we(&are o& a
!o"ntr# does not er!o(ate &rom the to/ ,"t sho"(d ,e ,"'(t "on deve(oment &rom the ,ottom.
REFRANCE3I3LIOGRAPHY B
1 7BB7@CB% ) PDAB+7 3 htt(;alyan-citylogs(otcom REFERENCES (''?
4 n/ian economy - ran.anolame
