Sectors of Indian Economy

The Indian economy is one of the largest economies in the world. Given the population of the country, it is no surprise that its economy is so noteworthy, especially with regards to its various trade and distribution channels. But the Indian economy, as a whole, is an immensely complex topic to dissect, which is why it is effective to divide it. We divide it into three sectors- Primary, Secondary and Tertiary. This article will delve into each of these sectors of the Indian economy below.

In this article, we shall further discuss the various characteristic features of different sectors of economy. Candidates preparing for the upcoming IAS Exam must carefully go through the details mentioned in this article.

Primary Sector

India is a vast country in terms of population, which results in vastly different economic conditions among its people. Therefore, its people must sustain their livelihood from natural resources. This is where the agriculture sector comes into the picture since it is the most important and largest sector of the Indian economy. However, this sector also has the major underlying issue of underemployment. This piece of information is crucial for the IAS preparation and UPSC exam as well.

So, to answer the question “which sector is the backbone of the Indian economy”, it is quite clear that the agriculture sector is responsible for the majority of economic trades in the country.

Candidates can get more details about Agriculture in India at the linked article and prepare notes for IAS exam preparation.

Secondary Sector

The secondary sector is largely involved with consumerism. As hinted at earlier, agriculture, despite being the largest and most prolific sector in India, does not have enough employment options. Employment is crucial in the growth of an economy, which is why the secondary sector is responsible for nearly 14 per cent of national employment.

Apart from employment, this sector is also vital to the progress of the Indian economy due to its operations. The secondary sector primarily focuses on products and services that get consumed by the wider population, namely transport and infrastructure. This also explains why a large chunk of the national GDP is contributed to this sector- 28 per cent of the overall GDP.

Tertiary Sector

Speaking of GDP, this final sector is perhaps the largest contributor to GDP share in India. This sector is generally known as the service sector, and it is crucial for the development of the primary and secondary sectors. The sectors of Indian economy states that this sector alone is responsible for 23 per cent of the overall employment in the country.

There is, however, one underlying issue of lower salary with this sector. Being heavily focused on service sectors such as IT services or business consulting services, this sector is responsible for an enormous share of 59 per cent of the overall GDP.

Also, refer to the following links with reference to the UPSC Syllabus given below:

High Performing Sectors in India

The three sectors discussed above are the most high-performing sectors in India. So, it should be noted what these sectors offer in terms of prominence in 2023 The following points are highly important for the upcoming civil services exam:

• More than half the population of India depends on the agriculture sector for sustenance. This has compelled cropping patterns to emphasize on cash crops such as rubber and sugarcane. As a result of this calculated push within the agriculture sector, export for agriculture goods has increased.
• The industry sector has evolved dramatically from the iron and steel to the automobile industries. There is a clear sector autonomy with respect to production and distribution, which makes investment models and private opportunities more feasible.
• The services sector has perhaps been the most reliable sector for job opportunities and employment, with IT corporate giants like Infosys, TCS and WIPRO getting global recognition. The sector is remarkable for its contribution to the overall GDP in the country and its penetrating abilities in banking and insurance.

The Indian economy is dependent on all the sectors contributing to its development. An aspirant should know this topic by heart as questions from here are quite common in the examination. All the best!

Aspirants can visit the linked article and get details about the upcoming government exams that comprise current affairs and general awareness as an important topic in the syllabus.

For the best preparation strategy for competitive exams candidates can visit the linked article and get detailed study material and preparation tips to excel in the examination.

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