Knowledge most powerful tool for India to become USD 5 trillion economy: Gadkari

Mumbai: Knowledge is the most powerful tool for India to become a USD 5 trillion economy and the third largest economy in the world, Union Minister Nitin Gadkari said on Monday.

Addressing an event in the Indian Institute of Technology Bombay, he said the future of any country is based on the type of futuristic technology it possesses.

Taking technology to the grassroots, particularly in agriculture and rural India, is critical for making India self-reliant and a global power, he said.

"IITs and their students have made a great contribution towards the country's development and progress. While working in the government, if we face any challenge, we refer it to the IITs first. The credibility of IITs is so good that the solution we get is widely accepted. In a nutshell, you are the capital of knowledge," the Union minister said.

"The progress of the country, resources, and technologies are important, but what is more important is the futuristic technology and knowledge. The future of any country is based on what type of futuristic technology it possesses," he added.

Prime Minister Narendra Modi has put forth a target in the form of a mission and that is making India a USD 5 trillion economy and the third largest economy in the world, Gadkari said.

"If we want to become a USD 5 trillion economy and the third largest economy, knowledge will be the most powerful tool," the Union Minister for Road Transport and Highways said.

Gadkari said entrepreneurship, science, technology, research, skill and best practices are cumulatively referred to as knowledge, and the conversion of this knowledge into wealth is the future.

He pointed out that about 60 per cent of India's population depends on agriculture, but its contribution to the GDP is only around 12 per cent.

"The manufacturing sector contributes around 22 to 24 per cent to the GDP, while agriculture and allied activities together account for only about 12 per cent. Unless we improve the economic condition of farmers, the poor and the marginalised, the country cannot truly progress," the Union minister added.

Emphasising the need to promote industries in rural areas to curb migration to cities, Gadkari said if industries are set up in rural India, migration to urban centres will automatically come down.

"Increasing exports and reducing imports must be a national priority," he said.

Calling technology the key driver of growth, he said India must leverage innovations that can boost exports. "We are working to diversify agriculture towards the energy and power sectors," he added.

Gadkari pointed out that India produces surplus rice, wheat and corn, which keeps domestic prices low and adversely impacts farmers. "Because of surplus production, farmers are not getting remunerative prices for wheat, rice and corn".

He said the government's decision to allow ethanol production from corn has benefited farmers in improving their income.

"India currently spends around Rs 22 lakh crore annually on fossil fuel imports. The bio-fuel sector has immense potential to reduce this burden and transform India from an energy importer into an energy exporter," he added.

Referring to crop residue management, Gadkari said farmers in Punjab and Haryana earlier burned rice straw which caused severe pollution.

"Now the same rice straw is being used to produce bio-bitumen, ethanol and bio-aviation fuel," he said, adding that sustainable aviation fuel is also being produced from agricultural waste.

Gadkari called the automobile sector a major growth engine for India.

"India's automobile industry is currently worth about Rs 22 lakh crore, compared to around Rs 79 lakh crore in China and Rs 49 lakh crore in the US. My aim is to make India number one in the automobile sector in the next five years," he said.

The target is difficult, but this industry has the potential to drive India's economic growth, Gadkari added.