Why is the tertiary sector becoming more important in India? Explain.



Points to Remember

Answer to be written in Exam 

The Tertiary Sector in India contributes to about 50% of its Gross Domestic Product (GDP) which is its National Income . The upcoming generation of youngsters work really hard in their studies to gain knowledge and secure good marks so that they can get a high paying job in the service sector and the reasons behind this growing importance of the Tertiary Sector are -

  1. Tertiary sector is becoming increasingly important as the Indian economy requires more services such as banking institutions, educational and health institutions, 
  2. With the increase in the income level of the population the d emand for services like eating out, tourism, shopping, private hospitals, private schools et c also increases which is also come under tertiary sector  and this rise is very evident in big and urban cities such as Delhi, Mumbai, Bangalore, etc.
  3. The tertiary sector generates the majority of India's national and per capita income. 
  4. The tertiary sector employed a large number of uneducated  and unskilled workers.
  5. Tertiary sector is responsible for  distributing its services and goods to different consumers. 

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Davneet Singh

Davneet Singh has done his B.Tech from Indian Institute of Technology, Kanpur. He has been teaching from the past 14 years. He provides courses for Maths, Science, Social Science, Physics, Chemistry, Computer Science at Teachoo.