India’s manufacturing sector is making its presence felt on the global stage across industries ranging from electronics to steel, with the country emerging as the world’s third-largest smartphone exporter and net exporter of steel for the first time. Driven by government initiatives and strategic investments over the last decade, the country steadily positioned itself as a global manufacturing hub. From producing record volumes of crude steel to meeting rising domestic and global demands, to pioneering advancements in electric vehicles and consumer electronics. Sectors once considered niche, like toys, are experiencing unprecedented expansion with exports increasing by a whopping 239 per cent and imports declining by 52 per cent.
India’s manufacturing sector has witnessed remarkable growth in 2024, underscoring its transformation into a global powerhouse. The year also marked 10 years of Make in India under which remarkable strides have been made to turn India into a manufacturing giant. Over the last decade, India’s manufacturing sector has undergone a significant transformation, largely propelled by the Make in India initiative. Key developments include the introduction of Production Linked Incentive (PLI) schemes across 14 sectors, attracting investments of over Rs 1.28 lakh crore and generating more than 8.5 lakh jobs. These initiatives have spurred growth in electronics, steel, pharmaceuticals, and defence manufacturing, with notable achievements.
India’s PLI schemes have played a transformative role in accelerating the country’s manufacturing sector, making it a global hub for industrial production. The PLI schemes have enabled investments of over Rs 1.28 lakh crore, generating 8.5 lakh jobs, and boosting exports by Rs 4 lakh crore. This has led to production and sales worth Rs 10.8 lakh crore, demonstrating the significant impact of the policy. The success of the PLI schemes has also extended to newer areas, with 2024 witnessing the introduction of incentives for biomanufacturing and the launch of the Critical Mineral Mission, aimed at securing resources essential for manufacturing sectors like EVs and semiconductors. By fostering large-scale investments, creating employment opportunities, and boosting exports, the PLI schemes have positioned India as a critical player in global value chains.
The PLI scheme in the pharma sector has strengthened India’s position in the global pharmaceuticals market, making it the third-largest player by volume. As a result, 50 per cent of the production is now directed towards exports, underscoring India’s growing influence in the global pharma industry. Over 115 companies applied, with 85 approved for incentives, expected to attract $8 billion (Rs 67,690 crore) in investments, far exceeding the target. As per the latest data, India achieved 60 per cent import substitution in telecom products under the PLI scheme, with global tech companies setting up manufacturing units, making India a key exporter of 4G and 5G telecom equipment. Moreover, the PLI scheme in the textile sector will enable the textile industry to achieve size and scale.
