Poverty and Growth in the Tertiary Sector of India

This research essay discusses the poverty and growth in the tertiary sector of India, with a focus on the agricultural sector. It explores the impact of the tertiary sector on poverty reduction and the development of the agricultural society. The essay also examines the relationship between the growth of the tertiary sector and the reduction of poverty in India.

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Author Note
POVERTY AND GROWTH IN THE TERTIARY SECTOR OF INDIA
A country is generally divided in to three economic sectors. These sectors are mainly the
primary sector, the secondary sector and the tertiary sector. The primary economic sector of the
country majorly deals with the collection of the raw materials that are required for the
manufacturing of the products. The secondary sector deals with the manufacturing processes in
order to develop the concerned products. The tertiary sector of the economy refers to the third of
the economic sectors that are maintained within the given country. The tertiary sector is often
referred to as the service sector of the company and deals with the services that are required for
the distribution of the concerned products to the clients of the organization as well as the other
business organizations that have been procuring their materials from the concerned organization
(Mitra and Schmid 1056). The tertiary sector that is active in the country of India is capable of
helping in the development of the resolution to the issues of poverty that is presented within the
given country through the development of the various techniques like pest control as well as the
introduction of the wholesale and the retail market within the given sector of agriculture. The
following research essay attempts to shed light on the poverty and the growth that has been
present within the territorial boundaries of India. The essay majorly focusses on the tertiarization
of the agricultural sector that is present within the country and aims at discussing the poverty
within the concerned sector within the economy of the country.

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The country of India has been facing a great amount of poverty within the realms of the
agricultural sector of the country. The majority of the people who have been serving in the
agricultural sector within the country are observed to be living under the poverty lines. The
majority of the people who have been living in the rural areas are observed to be facing the
poverty situations in contrast to the agricultural growth of the country as a whole. The researches
on the matter suggest that the growth within the agricultural industry as a whole tends to
represent the incidence in the matters of the poverty within the country (Datt and Ravallion 78).
The researches state that the individual states that are present within the country define the fact
that the individual states tend to demonstrate variations in the number of people who have been
living below the poverty lines. The tertiary sector of the Indian economy tends to deal with the
improvement that is required for the proper development of the agricultural society. Ahluwalia
opines that the majority of the people who have been involved within the agricultural sector tend
to depend on the tertiary sector of the economy in order to gain the proper amount of the returns
that they might be demanding for the hard work that they put forth for the production of the
various agricultural products.
The tertiary sectors that are present within the country of India are known to have been
developing since the past decade. The researches in the sector reveal the fact that the Indian
tertiary sector has faced a high amount of industrialization in the recent times and this in turn has
resulted in the development of the sectors that are important for the development of the people
who have been living in the conditions of poverty. The rapid growth in the industrialization in
the various developed countries of the world has resulted in the condition wherein the share held
by the secondary sector within the economy has faced a reduction (Mitra and Schmid 1057). This
has taken place due to the increase in the development of the service sectors within the country

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thereby leading to the increase in the share of the tertiary sector within the given country (Mitra
and Schmid 1057). However, in case of the developing countries of the world, there have been
issues regarding the high rise in the activities of the tertiary sector prior to the rise of the
secondary economic sector to a certain height. The experts in this matter suggested that the
progress of the economy in the developing countries of the world could put forth a proper
increase in the per capita income of the country at the constant prices. However, in case of India,
no change could have been observed in the matters that are related to the per capita income
(Ahluwalia 308).
On the contrary a different school of experts opine that the huge amount of growth in the
tertiary sector of the concerned country, India is not capable of ensuring the reduction of the
poverty within the country. The high rise in the income of the tertiary sector within the country
refers to the increment of the income of the people who have been working in the segments of
the high-productivity within the economy of the country. the increase in the income of the
tertiary sector does not aim at the creation of the new opportunities of the employment for the
people who have been living in the concerned country (Mitra and Schmid 1066). The tertiary
sector within the economy of the country does not provide enough scope for the incoming of the
new entrants into the existing job markets within the given organization. The tertiary sector
within the given country is observed to be facing an increase due to the various issues like the
intervention of the governmental authorities in the implementation and the growth objectives, the
generation of the employment, the reduction of the poverty within the organization, the
expansion in the matters of the public administration as well as the defense of the country. The
tertiary sector of the economy of the developing countries also face a greater expansion due to

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the creation of the demand patterns that are similar to those that are observed within the countries
demonstrating a high income as well.
The contribution to the GDP of the company from the tertiary sectors has faced a huge
increase over time. This has led to the conditions wherein the tertiary market has been deemed to
be one of the major sectors of the activity in the country of India. A certain section of the
researchers and thinkers in this field have opined that the concerned conditions would lead to the
reduction of the poverty conditions within the country of India (Ahluwalia 320). This might
result due to the increase of employability within the company thereby enhancing the real
income of the residents of the country. The human development within the country is greatly
linked to the sectoral growth of the poverty within the given organization (Datt and Ravallion
79). The size of the manufacturing sector within the country of India has often been found to
have been increasing the rates of the poverty within the country instead of providing ways in
which the poverty can be reduced. On the contrary it is majorly observed from the researches in
the given field that there is a considerable reduction within the poverty that is faced by the
residents of the country due to the high rates of the creation of the employability within the
various service sectors that are evident within the society. The major areas wherein the tertiary
sector has helped in the creation of the jobs is the area of the transportation. These
implementations within the tertiary sector helps in the reduction of poverty as well as increases
the participation rates of the employees of the organization in the various activities that would
help in the development of the overall performance of the companies through the bringing forth
of an expansion in the rates of employment within the given organization as well (Mitra and
Schmid 1074). The tertiary sector within the developing countries like India are known to have

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been contributing towards the development of the economic growth of the country through the
reduction of the poverty within the country.
In lieu of the above discussion, it might safely be said that the tertiary sector within the
Indian economy is beneficial in the reduction of the poverty that exists within the country. The
rapid growth in the industrialization in the various developed countries of the world has resulted
in the condition wherein the share held by the secondary sector within the economy has faced a
reduction due to the increase in the development of the service sectors within the country thereby
leading to the increase in the share of the tertiary sector.

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Works Cited
Ahluwalia, Montek S. "Rural poverty and agricultural performance in India." The Journal of
Development Studies14.3 (1978): 298-323.
Datt, Gaurav, and Martin Ravallion. "Farm productivity and rural poverty in India." The Journal
of Development Studies34.4 (1998): 62-85.
Mitra, Arup, and Juan Pedro Schmid. "Growth and poverty in India: emerging dimensions of the
tertiary sector." The Service Industries Journal 28.8 (2008): 1055-1076.