business

India’s manufacturing leap between 2014 and 2024

India’s economy typically moves from agriculture to manufacturing and then services, but the IT revolution in the 1990s allowed India to leapfrog straight to services, limiting manufacturing's role. In 2014, Prime Minister Modi launched "Make in India" to shift focus to manufacturing and leverage global value chains. Gains in merchandise exports, particularly in electronics and defence, have been seen. Employment in manufacturing has grown, but its share of GDP remains around 16-17%. Despite progress, experts note the results are not yet widespread. India's goal is to increase manufacturing to 25% of GDP by 2030. Will India meet this challenge?

first published: Sep 17, 2024 08:32 pm