Indian Economy: Growth -3

[Naresh]

<b>Shambhu Ji :</b>

Lacking the Educational Qualifications and the “Nous” of an Economist I would humbly opine that the India’s Economic Development is based on “Local – Internal Demand” whereas the Chinese “Miracle” is dependent upon “Exports”

I feel that India’s “Huge” Import are about 35% in terms of Energy Imports and about 25% in terms of Power and Infrastructure Projects, Aircrafts and Ships.

Energy Imports may cost less with the drop in “Oil” prices (will also effect Gas & Coal), with development of the country’s Manufacturing Power, Infrastructure and other Project Imports should decrease.

One cannot envisage a reduction in Aircraft Imports – especially the Passenger type – but I think India will not need to Import “too many” Aircrafts due to the prevailing Economic down turn.

The Shipbuilding Industry is already building ships of up to Panamax size and I think larger vessels are on the cards.

All the above requirements are for India’s Internal needs.

In contrast China’s Exports of Goods, I believe, is far more than its Internal demand.

Therein lies the reason for India’s Development being “Steadier and more Sustained” than that of China.

Cheers <!--emo&:beer--><img src='style_emoticons/<#EMO_DIR#>/cheers.gif' border='0' style='vertical-align:middle' alt='cheers.gif' /><!--endemo-->