Compare and contrast India and China’s sectoral contribution towards GVA/GDP. What does it indicate?

Ans. In terms of sectoral contribution to growth, agriculture contributed 10% of GDP in China in 2008, while it contributed 19% in India. Manufacturing, on the other hand, contributes the most to GDP in China, at 47 percent, while the service sector contributes the most in India, at around 55 percent. Agriculture sector growth in both countries has slowed over the last two decades. China has maintained a double-digit growth rate in the industrial sector, whereas India’s industrial growth rate has declined. In the case of the service sector, China was able to increase its rate of growth from 2008 to 2010, whereas India’s service sector growth has stalled. China’s growth is primarily attributed to the manufacturing sector, while India’s growth is primarily attributed to the agricultural sector.