Primary sector and Private Sector of the economy

Production lifecycle
The primary sector of the economy is the sector of an economy making direct use
of natural resources. This includes agriculture, forestry, fishing and mining. In contrast,
the secondary sectorproduces manufactured goods, and the tertiary sector produces services. The
primary sector is usually most important in less-developed countries, and typically less important
in industrial countries.
The manufacturing industries that aggregate, pack, package, purify or process the raw
materials close to the primary producers are normally considered part of this sector, especially if
the raw material is unsuitable for sale or difficult to transport long distances. [1]
Primary industry is a larger sector in developing countries; for instance, animal
husbandry is more common in Africa than in Japan.[2] Mining in 19th-century South
Wales provides a case study of how an economy can come to rely on one form of activity.[3]
Canada is unusual among developed countries in the importance of its primary sector, with
thelogging and oil industries being two of Canada's most important. However, in recent years, the
number of terminal exchanges have heavily reduced Canada's primary industry, making
Canadians rely more on quaternary industry.

Agriculture
In developed countries primary industry has become more technologically advanced, for
instance the mechanization of farming as opposed to hand picking and planting. [4] In more
developed economies additional capital is invested in primary means of production. As an
example, in the United States corn belt, combine harvesters pick the corn, and spray systems
distribute large amounts of insecticides, herbicides and fungicides, producing a higher yield than
is possible using less capital-intensive techniques. These technological advances and investment
allow the primary sector to require less workforce and, this way, developed countries tend to have
a smaller percentage of their workforce involved in primary activities, instead having a higher
percentage involved in the secondary and tertiary sectors.
Developed countries are allowed to maintain and develop their primary industries even
further due to the excess wealth. For instance, European Union agricultural subsidies provide
buffers for the fluctuating inflation rates and prices of agricultural produce. This allows developed
countries to be able to export their agricultural products at extraordinarily low prices. This makes
them extremely competitive against those of poor or underdeveloped countries that maintain free
market policies and low or non-existent tariffs to counter them.

List of countries by agricultural output

Largest countries by agricultural output according to IMF and CI

Economy
Countr
(01)
China
1,088
(02)
India
413
()
European Union
333
(03)
United States
290
(04)
Indonesia
127
(05)
Brazil
110
(06)
Nigeria
106
(07)
Pakistan
63

Quaternary sector of the economy

Economic sectors
Three-sector theory
Primary
sector:
raw
materials
Secondary
sector:
manufacturing
Tertiary sector: services
Additional sectors
Quaternary sector: information services
Quinary sector: human services
Theorists
AGB Fisher Colin Clark Jean Fourasti
Sectors by ownership
Business sector Private
sector Voluntary sector

sector Public

The quaternary sector of the economy is a way to describe a knowledge-based[1] part of the
economy - which typically includes services such as information technology, informationgeneration and -sharing, media, and research and development, as well as knowledge-based
services like consultation, education, financial planning, blogging, and designing.[2]
The quaternary sector is based on knowledge and skill. It consists of intellectual industries
providing information services, such as computing and ICT (information and communication
technologies),consultancy (offering advice to businesses) and R&D (research, particularly in
scientific fields). According to some definitions, the quaternary sector includes
other pure services, such as theentertainment industry, and the term has been used [by whom?] to
describe media, culture, andgovernment.

Colin Clark's sector model of an economy undergoing technological change. In later

stages, the quaternary sector of the economy grows shown in red.
"Quaternary sector" is a further delineation of the three-sector hypothesis of industry in the sense
that the quaternary sector refers to a part of the third or tertiary sector along with the quinary
economic sector. It has been argued that intellectual services is distinct enough to warrant a
separate sector and not be considered merely as a part of the tertiary sector. This sector evolves in
well-developed countries and requires a highly educated workforce.[3]
Between them, the tertiary and quaternary sectors form the largest part of the UK
economy, employing 76% of the workforce. The number of people who earn their living in these
activities is increasing, as they make human life easier and more comfortable.
Companies invest in the quaternary sector to promote further expansion. It is seenas a way to
generate higher margins or returns on investment. Research will be directed into cutting costs,
tapping into markets, producing innovative ideas, new production methods and methods of
manufacture, amongst others. To many industries, such as the pharmaceutical industry, the sector
is the most valuable because it creates future secondary-sector branded products from which
companies may profit.

Private Sector of Indian Economy

The private sector of Indian economy is the past few years have delineated significant
development in terms of investment and in terms of its share in the gross domestic product. The
key areas in private sector of Indian economy that have surpassed the public sector are transport,
financial services etc.
Indian government has considered plans to take concrete steps to bring affect poverty
alleviation through the creation of more job opportunities in the private sector of Indian economy,
increase in the number of financial institutions in the private sector, to provide loans for purchase
of houses, equipments, education, and for infrastructural development also. The private sector of
Indian economy is recently showing its inclination to serve the society through women
empowerment programs, aiding the people affected by natural calamities, extending help to the
street children and so on. The government of India is being assisted by a number of agencies to
identify the areas that are blocking the entry of the private sector of Indian economy in the arena
of infrastructural development, like regulatory policies, legal procedures etc.

The most interesting fact about the private sector of India economy is that though the overall pace
of its development is comparatively slower than the public sector, still the investment of private
sector in the recent past, i.e. in the first quarter of 1990 registered approximately 56 % which rose
to nearly 71 % in the next quarter, accounting for an increase of 15 %. Certain steps taken by the
Indian government are acting as the stepping stone of the private sector continued journey to
success, include industrial delicensing, devaluation that was implemented previously.
The private sector of Indian economy is also adversely affected by the huge number of permits
and enormous time required for the processing of documents to initiate a firm, however the
central government has decided to abolish MRTP Act and incorporate a Competition Commission
of India to bring the public sector and the private sector at the same platform.
The participation of the private sector of Indian economy is desired by the government of India
for infrastructural development including specific sectors like power, development of highways
and so on. As the contribution of public sector in these sectors have been arrested due to the shift
of the attention of the Indian government to issues like population increase, industrial growth.
The main reasons behind the low contribution of the private sector in infrastructural development
activities are that:

The small and medium scale companies in the private sector of Indian economy suffer
from lack of finances to welcome the idea of extending their business to other states or diversify
their product range.

The private sector of Indian economy also suffer from the absence of appropriate
regulatory structure, to guide the private sector and this speaks for its unorganized framework.

The unorganized framework of the private sector is interrupting the proper management of
this sector resulting in the slowdown of its development.