Minister of Commerce and Industry Kamal Nath has said that the country is an emerging Asian powerhouse, as India has recorded the fastest gross domestic product growth in 18 years.
Addressing the Plenary Session on "The Emerging Power of Emerging Markets" at the 11th International Economic Forum at St. Petersburg on Sunday, Kamal Nath highlighted the change in the global trade that has come about as a result of the rise of the emerging markets and pointed out India as an example of the growing clout of these countries in global economy.
"What better example to cite the growing clout of emerging economies than India, which has recorded the fastest GDP growth in 18 years, with the economy growing 9.4 per cent in 2006-07," he said.
The minister said while India continues to alter the coordinates of global trade, the country itself has seen robust growth in manufacturing with the sector growing 12.3 per cent in 2006-07 as compared to 9.1 per cent in the previous year. "Very few countries in the world match these growth rates," Kamal Nath said.
The Minister recorded the strides India has made in attracting foreign direct investment and said that an estimated growth rate of 9 per cent over the next five years starting 2007-08 would need an investment rate of 35.1 per cent of GDP.
He said there is huge investment potential in India in the upcoming knowledge process outsourcing sector. "We are likely to capture around 15 per cent of the over $54-billion KPO industry worldwide by 2010," the minister pointed out.
Kamal Nath also emphasised the opportunities presented by India's farm and food processing sector which has been identified as a priority area and also spoke of India's strength in the gems & jewellery and automobile and auto-components