By Sanjeev Miglani
NEW DELHI, Jan 15 (Reuters) - Indian Deputy Prime Minister Lal Krishna Advani vowed to turn the world's largest democracy into a developed nation in just over 15 years, as his Hindu nationalist party prepares for an early election.
Pushing the government's focus on a strong economy and a general "feel-good" factor, Advani told the opening of an auto expo that booming vehicle sales were a sign of sustained economic growth and consumer confidence.
"By 2020, India should become ranked as a developed nation, not a developing nation. This is our objective and this is feasible," he said in opening the expo showcasing new models and India's growing manufacturing resources.
The ruling Bharatiya Janata Party is banking on strong growth fuelled by bumper crops, low interest rates and consumer demand, especially in its core middle-class constituency, to return to power.
With good economic news, recent gains in state elections, a faltering opposition and a party demanding an early election, Prime Minister Atal Behari Vajpayee is expected to go to the polls in April-May instead of October.
"Today, everyone is talking about 'feel-good', but the day is not far (off) when that will become 'feel-great'," Advani said, adding the world had started to look at India's billion plus people with new respect.
India's gross domestic product is expected to expand more than seven percent in the fiscal year ending in March.
Domestic passenger car sales jumped 36.5 percent in December over the same month the previous year and the auto industry, which Advani said was a key indicator of development, has increased parts exports 20 percent this year.
"Go out, invest boldly and grasp global business opportunity," he told industry leaders.
But experts said despite recent growth, the automobile industry had barely made a dent in the potential Indian market.
There are only six cars per thousand people in India, one of the lowest levels in the world, Society of Indian Auto Manufacturers president Jagdish Khattar said.
Advani said the automobile industry, which experts say contributes barely two percent of GDP compared with 5-7 percent in other countries, had so far targetted urban India, ignoring the two-thirds of Indians who live in the villages.
"Economic developments are now percolating to rural India, raising aspirations and expectations... at this point of time our automotive products are still far too expensive for most of our rural population," he said.