2. Current Scenario
o Manufacturing sector contribution to India GDP :
15.7% in the year 2011-2012
15.2 % in the year 2012-2013
Below 15.2 % in the year 2013-2014
o China contribution to the GDP is 34 %
o India share in world manufacturing is only 1.8 % where china contributes
13.7 % to the world manufacturing .
o Share of manufacturing sector in total merchandise export declined
substantially over the period 2000-2001 to 2012-2013 from 76 % to 59% where
China contributes 93 % in 2012-2013.
o Manufacturing sector contributes to India GDP will 25 % by 2025 as per
estimated by NMCC Report .
3. Key Sectors in India Manufacturing
o Agriculture
o Gems & Jewellery
o Leather Industry
o Textiles Industry
o Food Processing
o Chemicals Industry
o Plastic industry
o Handicraft
o Paper Industry
75 %
of mfg
export
o IT hardware/Electronics
o Cement
o Minerals and Metals
o Telecom Equipt
o Drugs/Pharmaceuticals
25 % of
mfg
export
4. Manufacturing Sectors contribution
o Germs & Jewellery - employs an estimate of 2 million workers
o Leather industry - employs around 2.5 million people .
o Textile industry – employs 20 million people .
o Plastic Industry - 0.5% of India's GDP , 4 lakh employees
o Chemical industry - 7 % of India’s GDP, 1 million employees
o Food Processing - employs 1.6 million Jobs
o Paper industry - 1.6 % of India GDP , employs 1.2 million jobs
5. Continued…..
Manufacturing , accounting nearly 15.3 % of real GDP in FY12 and employing about
12 % of the country labour force .
rate of growth of manufacturing sector in FY12 was 3.3 % while real GDP growth
was Near by 6.5 .
6. Manufacturing competitive index
GMCI index considers market dynamics and policy issues that influence the
market .
GMCI expects the India competitiveness score to improve to 9.01 out of 10 by
2015 from 8.15 in 2010 .
7. Contribution of manufacturing to employment in India
4.55
5.65
7.54
5.12
4.11
7.32
11.4
12
0
2
4
6
8
10
12
14
workforce (percent)
Source : IBEF
9. Boosting Employment in Manufacturing sector
o Focus on MSMEs
o Target skill development
o Enhance the labour productivity
o Enhance the capital Productivity