India’s manufacturing sector is witnessing robust growth, with a significant 9.28 percent increase in Gross Value Added (GVA) over the previous year.
New data from the Annual Survey of Industries (ASI) for FY2024-25 highlights Maharashtra, Gujarat, Tamil Nadu, Karnataka, and Uttar Pradesh as the top five states, collectively contributing over 54 percent to the country’s total manufacturing GVA.
The Ministry of Statistics & Programme Implementation (MoSPI) released these findings, underscoring the sector’s expansion. The manufacturing corporate sector alone accounts for over 89 percent of the total GVA, indicating its dominant role. This growth isn’t just about value; it also reflects an increase in operational factories by 3.45 percent and a 7.57 percent rise in the total workforce engaged.
MoSPI noted a healthy 7.25 percent growth in the Gross Value of Plant & Machinery, signaling increased investment. The report further detailed that this expansion is broad-based, covering capital investment, production output, GVA, workforce numbers, and compensation.
Employment generation remains a key focus, with five major industries—food products, textiles, basic metals, motor vehicles, and wearing apparel—providing over 41 percent of all manufacturing jobs. Interestingly, while smaller factories (up to Rs 5 crore investment) make up nearly 79 percent of establishments, they contribute only about 17.61 percent to the net value added. In stark contrast, larger units (Rs 10 crore and above investment), though fewer in number (15.84 percent), are the powerhouses, generating over 78 percent of the net value added, showing the significant impact of large-scale industries on the economy.