India, Aug. 25 -- The first part of this series flagged manufacturing as the key challenge in boosting India's economic gap vis-a-vis China. It also highlighted that the problem lies in a lag in per worker productivity and a growing tendency to prioritise trade rather than domestic value added. What really explains this problem despite incremental reforms since 1991? The problem is often seen as an issue within the sector rather than relative to other sectors. This does not help. The data is clear.

Published by HT Digital Content Services with permission from Hindustan Times....