India Manufacturing Market Size (2024 - 2029)

India Manufacturing Market Analysis

The India Manufacturing Market size is estimated at USD 310.30 billion in 2024, and is expected to reach USD 523.70 billion by 2029, growing at a CAGR of 9.11% during the forecast period (2024-2029).

• India's manufacturing market underwent various phases of development during the pandemic, contributing approximately 16-17% to the GDP and employing nearly 20% of the country's workforce. It has become an attractive destination for foreign investments, with numerous mobile phone, luxury, and automobile brands establishing or considering manufacturing facilities in the country. The implementation of the Goods and Services Tax (GST) unified India into a single market with a GDP of USD 2.5 trillion and a population of 1.32 billion, attracting significant investor interest.
• According to the Indian Cellular and Electronics Association (ICEA), India has the potential to ramp up its cumulative manufacturing capacity for laptops and tablets to USD 100 billion by 2025 through strategic policy interventions. Among the government's initiatives, SAMARTH Udyog Bharat 4.0, led by the Ministry for Heavy Industries & Public Enterprises, aims to enhance the manufacturing market’s competitiveness, particularly in terms of capital goods. The focus on developing industrial corridors and smart cities underscores the government's commitment to fostering holistic national development.
• India is steadily advancing toward Industry 4.0 through initiatives such as the National Manufacturing Policy, which targets a 25% share of manufacturing in GDP by 2025, and the Production Linked Incentive (PLI) scheme. The PLI scheme aims to elevate the core manufacturing sector to global standards. The gradual transition to automated and process-driven manufacturing in India is anticipated to enhance efficiency and bolster production capabilities.

India Manufacturing Industry Segmentation

Manufacturing is a secondary industry that involves processing raw materials to produce finished goods. It is the production of goods in large quantities after processing the raw materials into more valuable products.

The manufacturing market in India is segmented by ownership (public sector, private sector, joint sector, and cooperative sector), raw materials used (agro-based industries and mineral-based industries), and end-user industry (automotive, manufacturing, textile and apparel, consumer electronics, construction, food and beverages, and other end-user industries). The report offers market sizes and forecasts in value terms (USD) for all the above segments.