The India Manufacturing Market is Segmented by Ownership (Public Sector, and Others), by End-User Industry (Automotive & Auto Components, and Others), by Plant Size (Large Enterprises), and by Region (North India, and Others). The Market Forecasts are Provided in Terms of Value (USD).

The manufacturing sector in India employed over **** million people in the financial year 2024. This was a growth of over *** percent as compared to the previous financial year. Industries driving the sector's growth included basic metals, coke and refined petroleum, food products, and chemicals among others.

The India Manufacturing Sector Market offers a diverse range of products, including automobiles, machinery, electronics, and pharmaceuticals. The automotive industry is one of the largest segments, driven by factors such as increasing urbanization, rising disposable income, and government initiatives to promote domestic manufacturing. The machinery segment is also experiencing growth, supported by the expanding manufacturing base and the need for automation. The electronics industry is witnessing significant demand due to the growing adoption of consumer electronics and the proliferation of the digital economy. The pharmaceutical industry is driven by factors such as increasing healthcare expenditure and the rise of chronic diseases. Recent developments include: January 2023: Sundram Fasteners, an auto component manufacturer, secured its largest-ever EV contract in its six-decade history. The Chennai-based company clinched a USD 250 million deal from a prominent global automobile manufacturer to supply sub-assemblies for its electric vehicle (EV) platform. Sundram Fasteners anticipates reaching an annual sales peak of USD 52 million by 2026, with a supply of 1.5 million drive unit sub-assemblies per annum., January 2023: Tata Motors, a multinational automotive manufacturing company based in India, disclosed plans to potentially establish plants in India and Europe for manufacturing battery cells dedicated to electric vehicles (EVs). The Chief Financial Officer of Tata Motors' auto unit revealed this information in an interview with Reuters. Tata Motors, which has sold a total of 50,000 electric cars thus far, dominates India's EV market and aims to introduce 10 electric models by March 2026.. Key drivers for this market are: Increasing demand for products in sectors like automotive, consumer electronics, and pharmaceuticals, both domestically and internationally, is fueling the expansion of manufacturing activities in India. Potential restraints include: Inadequate infrastructure, including poor transportation networks, inconsistent power supply, and inefficient logistics, which raise operational costs and hinder the smooth functioning of industries. Notable trends are: Growing government spending and the large and growing population, coupled with a rising middle class, are driving the market growth.

India Manufacturing Industries: Number Of Factories data was reported at 249,987.000 Unit in 2022. This records a decrease from the previous number of 250,454.000 Unit for 2021. India Manufacturing Industries: Number Of Factories data is updated yearly, averaging 132,814.000 Unit from Mar 1982 (Median) to 2022, with 41 observations. The data reached an all-time high of 250,454.000 Unit in 2021 and a record low of 93,166.000 Unit in 1983. India Manufacturing Industries: Number Of Factories data remains active status in CEIC and is reported by Ministry of Statistics and Programme Implementation. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAC001: Manufacturing Industry: NIC 2008: All Industries.

India Manufacturing Industries: Products data was reported at 63,067,999.800 INR mn in 2017. This records an increase from the previous number of 59,578,018.100 INR mn for 2016. India Manufacturing Industries: Products data is updated yearly, averaging 7,486,169.850 INR mn from Mar 1982 (Median) to 2017, with 36 observations. The data reached an all-time high of 63,067,999.800 INR mn in 2017 and a record low of 653,925.300 INR mn in 1982. India Manufacturing Industries: Products data remains active status in CEIC and is reported by Central Statistics Office. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAC001: Manufacturing Industry: NIC 2008: All Industries.

It was estimated that between 2023 and 2040, 5G services would have an economic impact of ** billion U.S. dollars on the manufacturing sector in India. Of which, millimeter wave-enabled 5G services would contribute around ** billion dollars. During the same period, the economic contribution of 5G in India was estimated to reach up to *** billion dollars.

The Indian manufacturing sector, valued at $310.30 million in 2025, is poised for robust growth, exhibiting a Compound Annual Growth Rate (CAGR) of 9.11% from 2025 to 2033. This expansion is fueled by several key drivers. Government initiatives promoting "Make in India" are attracting significant foreign direct investment and stimulating domestic production. Rising disposable incomes and a burgeoning middle class are driving increased demand for consumer goods, particularly in the automotive, consumer electronics, and food and beverage sectors. Furthermore, India's strategic location and relatively low labor costs compared to other manufacturing hubs make it an increasingly attractive destination for global manufacturers. The sector is segmented by ownership (public, private, joint, cooperative), raw materials used (agro-based, mineral-based), and end-user industries (automotive, manufacturing, textile, consumer electronics, construction, food & beverage, others). Leading players such as Tata Motors, Mahindra & Mahindra, Ashok Leyland, Hindustan Unilever, and others contribute significantly to the market's dynamism. However, challenges remain, including infrastructure bottlenecks, skill gaps in the workforce, and navigating complex regulatory environments. Overcoming these hurdles will be crucial to fully realizing the sector's growth potential. Despite challenges, the forecast for the Indian manufacturing sector is optimistic. Continued growth in key end-user industries like automotive and consumer electronics, coupled with government support for infrastructure development and skill enhancement programs, will likely accelerate the market expansion. The diversification of the manufacturing base beyond traditional sectors, embracing technological advancements, and focusing on sustainable practices will play a critical role in the sector’s long-term success. The presence of established multinational corporations alongside a vibrant domestic industry ensures a competitive and dynamic marketplace, positioning India as a significant manufacturing powerhouse in the coming years. Recent developments include: January 2023: Sundram Fasteners, an auto component manufacturer, won the biggest EV contract in its 60-year history. The Chennai-based company was awarded a USD 250 million contract by a leading global automobile manufacturer to supply sub-assemblies for its electric vehicle (EV) platform. The company estimates an annual sales peak of USD 52 million in 2026 with a supply of 1.5 million drive unit sub-assemblies per annum.January 2023: Tata Motors (an Indian multinational automotive manufacturing company) announced plans to set up plants in India and Europe to produce battery cells for electric vehicles. The company dominates the country's EV market, with total sales of 50,000 electric cars to date. It outlined plans to launch 10 electric models by March 2026.. Key drivers for this market are: The government has introduced several initiatives under the banner of "Make in India", India boasts a sizable pool of skilled labor, facilitating the establishment of manufacturing facilities for companies in various sectors. Potential restraints include: The government has introduced several initiatives under the banner of "Make in India", India boasts a sizable pool of skilled labor, facilitating the establishment of manufacturing facilities for companies in various sectors. Notable trends are: Growing Government Spending is Expected to Boost the Market’s Growth.

Manufacturing Production in India increased 1.80 percent in October of 2025 over the same month in the previous year. This dataset provides the latest reported value for - India Manufacturing Production - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Quarterly and annual data on India's GDP from the manufacturing sector, aggregated and published by ChartForest. The dataset includes time series values for real and nominal Gross Value Added (GVA) from manufacturing, based on official releases by the Ministry of Statistics & Programme Implementation (MoSPI).

India Manufacturing Industries: Profits data was reported at 9,507,136.800 INR mn in 2022. This records an increase from the previous number of 6,140,575.200 INR mn for 2021. India Manufacturing Industries: Profits data is updated yearly, averaging 544,561.200 INR mn from Mar 1982 (Median) to 2022, with 41 observations. The data reached an all-time high of 9,507,136.800 INR mn in 2022 and a record low of 32,234.500 INR mn in 1985. India Manufacturing Industries: Profits data remains active status in CEIC and is reported by Ministry of Statistics and Programme Implementation. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAC001: Manufacturing Industry: NIC 2008: All Industries.

In 2024, India's manufacturing sector's GDP share was around ** percent. The share remained the same as compared to the last year and declined from ** percent in 2010. Value added is the net output of the manufacturing sector after adding all outputs and subtracting intermediate inputs. The manufacturing sector employs over ** million workers. Boosting manufacturing As global economies aim to reduce reliance on China or adopt a China-plus strategy, India has emerged as a potent alternative manufacturing hub. The Make in India initiative was launched to foster and strengthen India’s global manufacturing status by enhancing foreign direct investments, skill development, and updating manufacturing infrastructure. Under the Production Linked Incentive (PLI) Scheme, companies are incentivized to promote domestic production and enhance manufacturing competitiveness. Despite efforts, experts expressed doubts about the government’s ambition to raise the share of manufacturing to GDP to ** percent by 2025.
Hurdles for manufacturing As per the World Bank, India’s share in global trade has not kept pace with its rapidly growing economy. It is losing ground to countries like Bangladesh and Vietnam in key low-cost and low-skill manufacturing export sectors. Manufacturing productivity in India has remained low. and the availability of capital also remains an obstacle for the manufacturing sector. Inadequate investments in technology, infrastructure, and research and development (R&D) can also impact productivity growth. Other factors include regulatory compliance burdens, complex labor laws, red tape, and inefficient supply chains.

Abstract

An all-India survey on unorganized manufacturing enterprises was carried out by the National Sample Survey Organization (NSSO) as a part of the 62nd round of National Sample Survey (NSS) during July 2005 - June 2006. Other subjects of inquiry were household consumer expenditure, employment and unemployment. Past surveys provided information on various operational characteristics of enterprises like location of enterprise, nature of operation, maintenance of accounts etc. in detail, as well as detailed estimates of employment, assets & borrowings. The 62nd survey round provides information on input, output & value added of unorganized manufacturing enterprises at all India level for different industry groups and at the level of States / UTs for all the industry groups taken together.

The manufacturing sector is one of the important sectors of industry in the Indian economy. As per the latest available National Accounts Statistics, during 2006-07, the manufacturing sector had a share of about 16% in the GDP at factor cost. For the purpose of data collection, the manufacturing sector has been broadly sub-divided into two categories i.e. organized and unorganized. While data for organized manufacturing sector are collected through Annual Survey of Industries (ASI), the same for unorganized manufacturing sector are collected periodically through sample surveys as follow-up surveys of Economic Censuses (EC). The unorganized manufacturing sector has roughly about one-third share in the total contribution by the manufacturing sector in the GDP.

Recognizing the importance of the unorganized manufacturing sector in terms of its share in GDP as well as in total employment, NSS has taken up this subject in many of its rounds. That way collection of data on unorganized manufacture has a long history in the NSS. In fact, the very first round of NSS had small-scale manufacturing and handicrafts as one of its subjects of enquiry. Thereafter, data on small-scale manufacture were collected also in the NSS rounds 3-10, 14, 23 and 29. These surveys used the list of villages from Population Census and list of census enumeration blocks, or lists of Urban Frame Survey (UFS) blocks of NSSO subject to their availability, as the sampling frame for selection of villages / urban blocks.

A review of the surveys conducted by NSSO in the initial rounds mentioned above indicated that a better sampling frame was necessary to generate more accurate statistics of the unorganized sector. The need for auxiliary information on areas of concentration of enterprises for stratification purpose was strongly felt for developing more efficient sampling designs. This demand ultimately culminated in the conduct of periodic Economic Censuses (EC), which provided the frame for the follow-up surveys on non-agricultural enterprises including those engaged in unorganized manufacturing.

With the launching of the EC in 1977 (five ECs have been conducted so far), the follow-up surveys of EC on unorganized manufacturing generally used the village and block level information on number of enterprises/workers as per the EC for selection of villages and urban blocks in the follow-up surveys. The approach of data collection from enterprises was also changed from the 'household approach' used earlier (i.e. prior to the launching of EC) to the 'site approach' whenever such sites existed. So far NSS has conducted six follow-up surveys of EC through rounds 33rd (1978-79), 40th (1984-85), 45th (1989-90), 51st (1994-95), 56th (2000-01), and 62nd (2005-06) with unorganized manufacture as the main subject of enquiry. In the 62nd round of NSS, area frame thrown up by the latest EC (1998) was however used only partially because the frame was considered to be old. However, for 27 cities having a population of one million or more (as per Census 2001) which are likely to have a substantial share in the total number of unorganized manufacturing enterprises in the country, a decision was taken to make use of the list of urban blocks giving count of number of enterprises/workers at the block level as per EC 1998 as the sampling frame for stratification and selection of urban blocks. For the remaining towns/cities, latest lists of UFS blocks were used as the sampling frame2. In case of rural areas, list of villages (or panchayat wards in case of Kerala) of Census 2001 served as the sampling frame for selection of villages as the first stage units (FSUs).

Geographic coverage

The survey covered the whole of the Indian Union except (i) Leh and Kargil districts of Jammu & Kashmir, (ii) interior village of Nagaland situated beyond five kilometers of bus route and (iii) villages of Andaman and Nicobar Islands which remain inaccessible throughout the year. All the sample FSUs of the districts Poonch and Rajouri of the state of Jammu and Kashmir became casualty. Thus, the estimates for Jammu and Kashmir as well as for all-India do not include these areas.

Analysis unit

• enterprise

Universe

Unorganized manufacturing enterprises not covered by ASI, under the two-digit codes 15 to 37 (Section 'D') of NIC-2004 and enterprises under cotton ginning, cleaning and baling (NIC-2004, code 01405). All government and public sector undertakings were outside the coverage of the survey. It is to be noted that only those enterprises, which operated for at least 30 days (15 days for seasonal enterprises) during the last 365 days preceding the date of survey, were eligible for survey.

Kind of data

Sample survey data [ssd]

Sampling procedure

One salient feature of the sample design adopted during the 62nd round was the use of list frame, in addition to the usual area frame, which was done to capture sufficient number of relatively 'bigger' enterprises with a view to improving the overall estimate of gross value added per worker, total number of workers, total input, total output, etc. A list of 8,000 big non-ASI manufacturing enterprises2 for the urban sector only was prepared as per the data of the census of manufacturing enterprises conducted by Development Commissioner of Small Scale Industries (DCSSI) in 2003. This list served as the list frame. All these units in the list frame were considered for survey without resorting to any sampling. For the coverage of all other enterprises in the universe, the usual area frame approach was followed for sampling of enterprises in stages. It is important to mention that this dual frame approach was experimented for the first time in the 62nd round. The effectiveness of using the list frame has been discussed under Chapter four.

In the area frame approach, the list of all the villages (panchayat wards in case of Kerala) / urban blocks of the country served as the sampling frame of first stage units (FSUs). Thus, the FSUs were villages (panchayat wards in case of Kerala) in the rural sector and urban blocks in the urban sector. The ultimate stage units were enterprises in both the sectors. However, in case of large FSUs requiring hamlet-group (hg) / sub-block (sb) formation, one intermediate stage in the sampling involved the selection of two hg's / sb's from each FSU out of a minimum of three hg's/sb's formed in the FSU. Of these two selected hg's/sb's, one was selected with probability '1' (termed as segment 1) and another one (termed as segment 2) was selected from among the remaining hg's/sb's of the FSU at random. The hg/sb selected with certainty (i.e. segment 1) was the hg/sb having maximum number of directory manufacturing establishments (DMEs) (or with maximum number of non-directory manufacturing establishments (NDMEs) if there was no DME, or with maximum number of own account manufacturing enterprises (OAMEs) if there was no DME/NDME, or with maximum population if there was no DME/NDME/OAME3 in the entire FSU). Smaller FSUs without any hg/sb formation were identified/categorized as segment 1 for the purpose of survey (segment 2 does not exist for such FSUs). As regards the first stage stratification, two basic strata were formed within each district of a State/UT: rural stratum comprising all rural areas of the district and urban stratum consisting of all urban areas of the district. However, each city with a population of one million or more as per Census 2001 was invariably treated as a separate stratum by itself. For details of stratification, sub-stratification and selection of sample FSUs, reference may be made to Appendix-B of of the final report no.526.

For each of segments 1 and 2 for the selected sample FSUs, a frame of eligible enterprises was prepared by the field investigators by visiting each and every house/household within the selected geographical area. While doing so, if any enterprise of the list frame was encountered, care was taken not to list it again within segment 1 or 2 as a part of the area sample / area frame to guard against duplication of enterprises between the two types of frames. Listing and sampling of enterprises in the area frame was independent for each of segments 1 and 2. In this context, it may be mentioned that for each selected FSU of rural sub-strata 1 and 2 only (see Appendix B for composition of these two sub-strata), segment 9 was also carved out within the FSU, which comprised top 10 big non-ASI registered SSI enterprises (identified by jointly considering the number of workers in the enterprise and gross value of output of the enterprise) located within the boundaries of the entire FSU. The list of such units for selected FSUs was made available to the field investigators in order to facilitate formation of segment 9. Respective frames of segments 1 and 2 in these FSUs excluded the units listed under segment 9. The effectiveness of the formation of segment 9 has been discussed under Chapter

Industrial Production in India increased 0.40 percent in October of 2025 over the same month in the previous year. This dataset provides - India Industrial Production - actual values, historical data, forecast, chart, statistics, economic calendar and news.

India Manufacturing Industries: Net Income data was reported at 15,799,401.600 INR mn in 2022. This records an increase from the previous number of 11,574,771.400 INR mn for 2021. India Manufacturing Industries: Net Income data is updated yearly, averaging 1,166,497.300 INR mn from Mar 1982 (Median) to 2022, with 41 observations. The data reached an all-time high of 15,799,401.600 INR mn in 2022 and a record low of 110,745.800 INR mn in 1982. India Manufacturing Industries: Net Income data remains active status in CEIC and is reported by Ministry of Statistics and Programme Implementation. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAC001: Manufacturing Industry: NIC 2008: All Industries.

Manufacturing, value added (% of GDP) in India was reported at 12.53 % in 2024, according to the World Bank collection of development indicators, compiled from officially recognized sources. India - Manufacturing, value added (% of GDP) - actual values, historical data, forecasts and projections were sourced from the World Bank on November of 2025.

Manufacturing Industries: Uttar Pradesh: Factories data was reported at 17,481.000 Unit in 2022. This records an increase from the previous number of 16,503.000 Unit for 2021. Manufacturing Industries: Uttar Pradesh: Factories data is updated yearly, averaging 12,385.500 Unit from Mar 1999 (Median) to 2022, with 24 observations. The data reached an all-time high of 17,481.000 Unit in 2022 and a record low of 8,980.000 Unit in 2003. Manufacturing Industries: Uttar Pradesh: Factories data remains active status in CEIC and is reported by Ministry of Statistics and Programme Implementation. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAF032: Manufacturing Industry: NIC 2008: By State: Uttar Pradesh.

India Manufacturing Sector Market, valued at $450 Billion in 2024, is set to reach $1 Trillion by 2034, growing at an 8.5% CAGR, driven by policy support.

In fiscal year 2025, India exported principal commodities worth over 37 trillion Indian rupees. This was an increase in export value from the previous year. India ranked in the position 18 among the leading export countries in the world based on value.

India Manufacturing Industries: Number Of Workers data was reported at 13,609,931.000 Person in 2022. This records an increase from the previous number of 12,594,563.000 Person for 2021. India Manufacturing Industries: Number Of Workers data is updated yearly, averaging 6,970,116.000 Person from Mar 1982 (Median) to 2022, with 41 observations. The data reached an all-time high of 13,609,931.000 Person in 2022 and a record low of 5,806,866.000 Person in 1987. India Manufacturing Industries: Number Of Workers data remains active status in CEIC and is reported by Ministry of Statistics and Programme Implementation. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAC001: Manufacturing Industry: NIC 2008: All Industries.

India Manufacturing Industries: Gross Capital Formation data was reported at 7,022,450.600 INR mn in 2022. This records an increase from the previous number of 4,450,016.200 INR mn for 2021. India Manufacturing Industries: Gross Capital Formation data is updated yearly, averaging 820,373.900 INR mn from Mar 1982 (Median) to 2022, with 41 observations. The data reached an all-time high of 7,022,450.600 INR mn in 2022 and a record low of 100,605.400 INR mn in 1982. India Manufacturing Industries: Gross Capital Formation data remains active status in CEIC and is reported by Ministry of Statistics and Programme Implementation. The data is categorized under India Premium Database’s Mining and Manufacturing Sector – Table IN.BAC001: Manufacturing Industry: NIC 2008: All Industries.