(A) Why is 'Tertiary Sector' becoming important in India ? Explain.
Generated by claude-sonnet-4-6 · 2026-06-15 06:57 · grounding rag
Model Answer
The Tertiary Sector is becoming important in India due to the following reasons:
- Basic Services: A developing country like India needs basic services such as hospitals, schools, banks, transport, police, and defence. The government must provide these essential services.
- Support to other sectors: Development of agriculture (primary) and industry (secondary) increases demand for services like transport, trade, and storage.
- Rising incomes: As incomes rise, people demand more services like tourism, private hospitals, private schools, and professional training.
- IT and new services: Over the past decade, services based on information and communication technology have grown rapidly and become essential.
As a result, by 2017–18, the tertiary sector contributes the most to India's GVA, emerging as the largest producing sector.
Source: Chapter 2 — Sectors of the Indian Economy, "Rising Importance of the Tertiary Sector in Production"
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Explanation
- This is a 3-mark answer: examiners expect 3 distinct reasons — one mark each.
- Always name each reason clearly (basic services, support to other sectors, rising incomes, IT) — you don't need all four, but three well-stated points are required.
- A concluding line on its contribution to GVA strengthens the answer.
- Avoid over-explaining each point; one supporting example per reason is sufficient.