Manufacturing

Manufacturing in India: A Transformative Leap Forward

India’s manufacturing sector is rapidly evolving, propelled by flagship initiatives like “Make in India” and “Atmanirbhar Bharat” (Self-Reliant India), alongside targeted incentives such as the Production-Linked Incentive (PLI) schemes. These programs aim to elevate manufacturing’s contribution to GDP and reduce dependency on external suppliers.

How We Empower Manufacturing Leaders

At PreEminence Ventures, we offer specialized services tailored for India’s new industrial era:

• Audit & Assurance for manufacturing environments
• Strategic Consulting to navigate sector-specific challenges
• Risk Analysis & Mitigation with informed foresight
• Tax Advisory for manufacturing and industrial product segments
• MSME-Focused Solutions to enable agile growth
• M&A, Fundraising, Partnerships & Investor Relations support

Sector Overview: Current State and Emerging Trends

• 1. Scale & Economic Contribution: Industry constitutes approximately 17.2% of India’s GDP (manufacturing value added), up from lower levels but still shy of the 25% target. Meanwhile, the pandemic-era PLI schemes have delivered significant outcomes: by March 2025, they attracted ₹1.76 lakh crore in investment, drove ₹16.5 lakh crore in production, and supported over 1.2 million jobs.
• 2. Production Trends & Momentum: Industrial growth remains positive yet moderate. As of mid-2025:
  • Manufacturing PMI (HSBC) reached 58.2 in April, marking a ten-month high.
  • IIP and Core Infrastructure data (MoSPI) in early 2025 show steady but varied performance, with sectors like machinery, basic metals, and electrical equipment recording strong growth.
• 3. Global Shifts & Strategic Initiatives: India is positioning itself as a high-tech manufacturing hub amid geopolitical and economic shifts:
  • A semiconductor unit by HCL & Foxconn near Noida has received Union Cabinet approval, capable of producing 36 million display-driver chips per month and generating ~2,000 jobs.
  • Madhya Pradesh has greenlit a rail-coach manufacturing facility in Obedullaganj under Make in India and Atmanirbhar Bharat, expected to create 5,000 jobs, manufacture up to 1,100 coaches annually, and integrate eco-friendly technologies.
  • With easing of rare-earth supply constraints—from external sources like China—the Indian electronics industry stands to gain significantly in competitiveness and supply resilience.
• 4. Broader Economic Backdrop: India’s GDP grew strongly at 6.5% in FY 2024–25, making it one of the fastest-growing major economies. Inflation also eased to 2.82% by May 2025. Real GDP is projected to grow further at 6.3% in FY 2025–26, supported by stable consumption, investment, and policy reforms.

Your Path in the New Industrial Paradigm

As India accelerates toward deeper industrialization and self-reliance, PreEminence Ventures stands ready to help manufacturing clients turn strategy into execution. We specialize in:

• Translating policy opportunity into business advantage—be it PLI, infrastructure, or MSME mission
• Supporting operational scale-up for emerging sectors (electronics, rail, semiconductors)
• Strengthening governance, financial, and risk frameworks
• Enhancing MSME performance with targeted financial instruments and credit support

Together, we can build a resilient manufacturing future—anchored in innovation, policy alignment, and operational excellence.

Sources

1. PLI Programs: Investments, production, and employment stats (≤ March 2025) — DD News
2. Manufacturing’s GDP share & global role (2024–25) — Hinrich Foundation
3. Industrial production & IIP sector breakdown (2025) — India Briefing
4. PMI data — manufacturing performance (April 2025) — India Briefing
5. Semiconductor facility by HCL-Foxconn near Noida (2025) — The Times of India
6. Rail-coach plant in Obedullaganj (MP) under Atmanirbhar Bharat & Make in India (2025) — Press Information Bureau
7. Rare-earth supply easing benefiting electronics manufacturing (2025) — Atlantic Council
8. Economic performance — GDP growth, inflation (FY 2024-25) — DD News
9. GDP projections FY 2025-26 — OECD
10. MSME credit support & Manufacturing Mission goals — IMPRI Institute
11. Make in India & Atmanirbhar Bharat initiative context — IBEF, Wikipedia