Growth of Manufacturing Industry in India - Infographic

India is the third most sought-after manufacturing destination in the world and has the potential to export goods worth US$ 1 trillion by 2030.

Advantage India

Robust
Demand

*During FY24, India’s merchandise exports reached US$ 437.06 billion, down from US$ 451.07 billion in the previous fiscal.

*By 2030, Indian middle class is expected to have the second-largest share in global consumption at 17%.​

Increasing
Investment

*Propelled by growth in priority sectors and driven by favourable megatrends, India’s manufacturing sector has opened itself into new geographies and segments.

*Building on the competitive advantage of a skilled workforce and lower cost of labour, the manufacturing sector is also witnessing an increased inflow of capex and heightened M&A activity, leading to a surge in manufacturing output and resultant increased contribution to exports. ​

Policy
Support

*India's manufacturing sector is poised to reach US$ 1 trillion by 2025-26, led by Gujarat, Maharashtra, and Tamil Nadu, fueled by investments in automobile, electronics, and textile industries. Government initiatives like Make in India and PLI schemes drive growth, attracting FDI and enhancing industrial infrastructure.​

*DPIIT is boosting India's startup ecosystem and manufacturing sector by developing incubators to foster innovation, enhance competitiveness, create jobs, and strengthen the country's self-reliance and global trade position, with support from government initiatives and collaborations between corporates and startups. ​

Competitive
Advantage

*The positive developments in the manufacturing sector, driven by production capacity expansion, government policy support, heightened M&A activity, and PE/VC-led investment, are creating a robust pipeline for the country’s sustained economic growth in the years to come. ​

Last updated: Jul, 2024

IBEF Campaigns

MORE
Aatmanirbhar Bharat Utsav 2024

Aatmanirbhar Bharat Utsav 2024

Union Minister of External Affairs, Dr. S. Jaishankar and Union Commerce an...

Bharat Mobility 2024

Bharat Mobility 2024

Bharat Mobility Global Expo 2024 1 – 3 Feb 2024, Bharat Mandapam, ...

Case Studies

MORE

Growth of Hotel Industry in India

Growth of Hotel Industry in India

The hospitality industry is a developing and fast-growing market in India, and it has a powerful positive effect on the country’s economy and th...

Sports as a Profession in India and its Economic Impact

Sports as a Profession in India and its Economic Impact

In India, traditionally, sports are viewed more as leisure activities than as promising careers. Sports were typically considered as secondary interes...

Spiritual Tourism in India: Analysing Economic Impact and Growth Potential

Spiritual Tourism in India: Analysing Economic Impact and Growth Potential

India, the country where millions of travellers come to seek spiritual fulfilment as part of their tourism journey, makes it an integral part of India...

IBEF BLOG

MORE
India’s Emergence as a Semiconductor Manufacturing Hub
18 Jul 2024

India’s Emergence as a Semiconductor Manufacturing Hub

India depends on imports to fulfil its need of semiconductor devices. Major...

Future of Drone Technology in Indian Agriculture: Enhancing Efficiency and Sustainability
18 Jul 2024

Future of Drone Technology in Indian Agriculture: Enhancing Efficiency and Sustainability

The agricultural sector, in India, often described as the backbone of the n...

Evolution of REIT in India: From Inception to Current Trends
15 Jul 2024

Evolution of REIT in India: From Inception to Current Trends

In India, the real estate industry not only ranks as the second-largest sou...

Partners
Loading...