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Manufacturing Sector in India

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The capital goods industry employs 1.4 million of people and is estimated to employ 2.8 million by 2017.

Growth of Manufacturing Industry in India - Infographic

Latest update: December, 2017

  • Indian manufacturing sector’s Gross Value Added at basic prices based at current prices is expected at US$ 388.01 billion in 2017-18E.
  • Manufacturing sector is estimated to have grown at a CAGR of 4.34 per cent between FY12 and FY18.
  • The Wholesale Price Index, in respect of manufactured goods grew 4.4 per cent 2016-17.
  • Quarterly GVA at basic prices from manufacturing sector grew by 10.92 per cent in the third quarter of FY18.
Growth

Notes: FY – Indian Financial Year (April -March), E – Estimate, Exchange rate used is average for the Financial Year
Source: MOSPI, News Articles

  • The Index of Industrial Production (IIP) is prepared by the Central Statistics Office to measure the activity happening in three industrial sectors namely Mining, Manufacturing, and Electricity.
  • It is the benchmark index and serves as a proxy to gauge the growth of manufacturing in India since manufacturing alone has a weight of 77.63 per cent in the index.
  • The manufacturing component of the IIP recorded 4.4 per cent growth in FY17 and 8.7 per cent in January 2018.
  • The production levels are expected to pick up growth again as the Goods and Services Tax (GST) has finally been implemented.
Growth

Notes: FY18* - From April to January 2017-18
Source: Central Statistics Office

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