QUESTION 2
GS3
10 marks
Account for the failure of manufacturing sector in achieving the goal of labour-intensive exports rather than capital-intensive exports. Suggest measures for more labour-intensive rather than capital-intensive exports.
WRITE IN
7 min
150 words
What the examiner wants
Explain why Indian manufacturing exports became capital-intensive instead of labour-intensive, and suggest correctives.
Account for + SuggestGive the reasons that explain it. Propose specific, workable measures.
Demand-wise check
- 1Reasons: rigid labour laws pushing firms to stay small or use machines, small scale (missing middle), high logistics and power costs, credit constraints for MSMEs, inverted duty structure, skill gaps, reservation of items for SSIs earlier≈35 words
- 2Outcome: India's exports led by petroleum products, engineering, pharma; lost apparel and footwear share to Bangladesh and Vietnam≈35 words
- 3Measures: labour code reform, PM MITRA textile parks, PLI for labour-intensive sectors, FTAs with markets, logistics policy, skilling, flexible fixed-term employment≈35 words
Open in about 20 words and close in about 20.
Answer plan
Expected patternReasons for failureEvidenceMeasuresConclusion
Where marks usually go
- Blaming only labour laws
- Generic Make in India points without sector focus
Draw this
- Bar chart: apparel exports of India vs Bangladesh vs Vietnam
Value addition
- ReportEconomic Survey 2016-17 chapter 'Clothes and Shoes: Can India Reclaim Low Skill Manufacturing?' identified logistics, tax and labour constraints.Economic Survey 2016-17
- LawIndustrial Relations Code, 2020 raises the threshold for prior permission for lay-offs from 100 to 300 workers.IR Code, 2020
Mapped topper copies
Reviewed public-source references related to this PYQ. Same-syllabus references are labelled separately.
- Mayank Purohit · AIR 33 · Page 3 ↗Same syllabus reference
- Shakti Dubey · AIR 1 · Page 23 ↗Same syllabus reference
- Aniket Ranjan · AIR 48 · Page 26 ↗Same syllabus reference
- Mayank Purohit · AIR 33 · Page 13 ↗Same syllabus reference
Links open original public sources. MainsBuddy does not host these answer sheets.
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