Given slow progress at WTO, India is looking at FTAs or bilateral pacts to push trade in Services. FDI is a good opportunity to sell services— via own centres or Indian partners. Demographic growth and improved skills attainment have the potential to drive India's trade in global services. Skill India is one of the key policies. India should also improve efficiency, capabilities and policies for better targeting, eg. in education, manufacturing and R&D. Start-up India is designed to create — and retain — an entrepreneurial class, that helps to capture niche global markets.

SUMMARY of key sectors
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Information Technology - a $143b (2016) behemoth, incl $108b in exports. Growth is expected to be 8.5% in 2016.
Biggest private employer at 3.7m jobs.
Visa restrictions will impact employment prospects in India.

Healthcare - A massive $160b (2017) and to grow hugely to £280b by 2020!!!
Good value proposition.
Visa-free access to 150 countries
The unique appeal of traditional medicines (like Ayurveda & yoga)
Digital India can push telemedicine (only $16m)

Logistics - A huge $123b (2015) sector growing at 9%
Govt is highly focused here - growing capacity
IT sector has scope to improve efficiency (esp after GST)
Competitive two-way trade, but scope to shift balance via above.
Improvement in country rankings.
High manpower one of India's strengths.

Tourism - A $110b (2015) industry and 7.8m foreign visitors.
Helped by logistics infra, specific upgrades, beautification, etc
Improvement in country ranking.
Visa-free entry for 150 countries.

Education - substantial $47b (2014),
Unmet demand being filled by the private sector.
Govt wants to improve quality consciousness, foreign involvement
Scope to attract foreign students (many past failures).

Media - A major employer and contributor to GDP. $17b (2014), growing at 14%.
14th largest in world
High quality, lower cost, diverse offerings, flexible pricing to match.
Should find traction globally, esp animation, visual effects.

Accounting - fast-growing sector (14-15%), which is helped by much higher business and corporate activity in India (esp M&A, FDI).

Legal - surprisingly small at only $6.8b (2012) but fast-growing at 15%.
Huge manpower, in small practices.
Sizeable share devoted to exports (18k employed in outsourcing)

Management consultancy - robust growth in IT consultancy exports has made India become a net exporter from 2013, with a phenomenal size of $14.5b (2015).
A $3.5b domestic market, growing at 9.5%
Relatively high employment equivalent to > 1/3 legal.
Has created a lot of new jobs.

Architecture & Engineering - modest $900m (2014), but growing at 14%.
Urbanisation and govt infra spend
Expected to reach $1.5b by 2018.

Space, MRO - Small sectors that are growing very fast (for now).
Govt is pushing both with a budget spend, tax benefits. MII, FDI
High domestic growth in aviation demand
MRO has doubled from $77m (2012) to $189m (2014).
Unmet demand for satellite services, incl telecommunications.
High launch activity, improving capability, higher subcontract.
ISRO wins on costs and credibility.

Example of teleservices in India: Common Service Centres (CSC) - Head of the agency says 60 million will be made literate in rural areas in 3 years.

Indian services sector - poised for global ascendancy.pdf - Google Drive