Manufacturing vs Services: It's not one or the other | Prof. Vidya Mahambare writes for Mint

Prof. Vidya Mahambare has authored an article titled "Manufacturing vs Services: It's not one or the other" published by Mint.

The article highlights that whether the manufacturing or service sector grows faster depends on the policy environment, domestic and global demand and the sector's comparative advantage.

Government policies in India have been more favourable to services. First, labour laws in services are less cumbersome. Second, highly skilled services, like in the information technology (IT) sector, depend less on physical infrastructure such as roads and ports for production and delivery, and India has been a laggard in such infrastructure. Third, business and environmental permits are easier to obtain in services. Fourth, land acquisition costs are lower as less is needed.