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Does TRIPS Drive the Productivity Growth in Indian Chemical Industry: A Sub-sector Analysis

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Indian Journal of Economics and Development
Volume 15 No. 3, 2019, 381-391
DOI: 10.5958/2322-0430.2019.00048.9
Indexed in Clarivate Analytics (ESCI) of WoS

Mitali Nayyar1* and Parminder Singh2
1Research Scholar and 2Professor of Economics, Punjab School of Economics, Guru Nanak Dev University, Amritsar-143005.
*Corresponding author’s email: mitali.nayyar20@gmail.com

ABSTRACT
Based on secondary data from 1992-2015 of Indian chemical industry, the result showed the improvement in the growth rate of TFP during the entire study period. The industry also experienced advancement in technical efficiency along with sluggishness in technical progress in the post TRIPS period. The growing technical efficiency along with non-responding technical change were the main factors responsible for accelerating productivity change in Indian chemical industry in the post TRIPS period. The results suggested that Indian chemical sector must increase TFP by improving technological progress and there is a need to decrease technical and scale inefficiencies and improve capacity utilization during the post TRIPS period.
Keywords
Chemical sector, data envelopment analysis, technical efficiency, total factor productivity.
JEL Codes
L65, O34,C14.

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