'South states need to boost productivity'

CHENNAI: Southern states can do more to improve labour productivity, gross value addition, research and skilling, said chief economic adviser V Anantha Nageswaran. Speaking at the CII South Global Linkages Summit, he said the southern states have performed well in GDP per capita, labour force participation, skilling and gross value addition in manufacturing but there is room for improvement.

He said the number of persons engaged in manufacturing in south India is 33% but output share is about 26%. "So that kind of tells you there is scope for improvement in productivity," he said, adding, while these states have basic skilled workforce, it needs to improve professional skills and 'very high order' professional skills, especially with the global developments of high value added manufacturing and adoption of artificial intelligence. Southern states have done well in economic and social progress and should benchmark themselves against the world, not within India, he added.