Agree completely. We’ve tapped out our services potential. We now need large scale manufacturing. Income inequality and unemployment are very real problems, and its only getting worse. Only manufacturing can create those kind of jobs at scale.
> We’ve tapped out our services potential. We now need large scale manufacturing.
Most "first world" economies are dominated by services, so I would be surprised if India has topped out in services. Do more of the high-level stuff, like design and independent, research and development. "Grunt" work, like churning out code generates, a certain level of wealth. The high-level stuff generates even more. As a crude measure, until India is winning 1.4/7.8 = 18% of Nobel prizes it has untapped potential. (This is not intended as disparagement of India's track record but to highlight the potential for India.)
In my mind the real value of a strong manufacturing industry is that it drives the development of high-level services associated with manufacturing (robotics, materials, science, ...). I'd rather have small highly developed manufacturing sector than a large "low-tech" manufacturing sector.
Most first world economies don't have 1.4B people.
By the government's own admission, 800M people are still being given free food because they can't afford it on their own. That's more than the population of western Europe and USA combined.
Services simply don't employ people in large enough numbers. It's not rocket science - basic maths.
