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But I suppose this is true for all sarkari panels.
There are 2 shining examples:
Arijit Prasad who is now a Senior in the Supreme Court has spent his entire career from 2001 on the Central Govt panel. He did Income Tax cases exclusively and it gave him a lot of visibility. This happened because his father was a Congress MP from Assam, but he built up relations on his own which ensured he continued under the BJP.
Zohaib Husain also has spent 15 years on the Government panel after joining Mohan Parasaran when he was SG. He continued into the BJP regime and has been a briefing counsel in many cases before being made ED and Tax standing counsel for Central Govt before the Delhi High Court.
Both of them have made the choice not to have private practise (very few private briefs come the way of someone who has spent all their time on Govt panels). Now the trajectory would be towards judgeship, ASG, etc.
Remember however that if you choose this path, there isn't much money in it (unless you choose less scrupulous avenues).