Business · Economy · 8 hrs ago
Large Factories Account for Most of India's Manufacturing Output
India's statistics ministry found that a small share of factories produced most manufacturing output in the year ending March 31, 2025.
Plants with annual output above ₹500 crore made up about 3.6% of operational capacity but accounted for 62.07% of output and nearly 61% of net value added.
Factories producing up to ₹10 crore a year represented 52.36% of operational units, but contributed just 1.92% of output.
The figures show that manufacturing value is concentrated in large plants, even though smaller factories are far more numerous.
Factories with at least ₹10 crore invested in plant and machinery generated 76.82% of output and employed 59.66% of workers.
Manufacturing corporate-sector gross value added rose 9.28% in FY25, but value added per worker grew only 2.25% as employment increased 7.57%.
The survey also found that employment remained concentrated in a handful of industries.
Factories producing more than ₹500 crore a year accounted for 62.07% of India’s manufacturing output in FY25, despite representing about 3.6% of operational plant capacity.
These large factories contributed nearly 61% of net value added and employed about a third of the sector’s workforce.
Factories with annual output of up to ₹10 crore made up 52.36% of operational units but contributed 1.92% of output and 2.12% of net value added.
By capital size, factories with plant and machinery valued at ₹10 crore or more generated 76.82% of output and 78.07% of net value added.
Manufacturing corporate-sector gross value added rose 9.28% year on year in FY25, while gross value added per person engaged grew 2.25%.
- Who
- India’s manufacturing factories, classified by annual output and plant-and-machinery value.
- What
- The Annual Survey of Industries found that manufacturing output and value added are concentrated among large factories.
- When
- FY25, the year ending March 31, 2025. The detailed report was published on November 4, 2026.
- Where
- India.
- Why
- Not stated
This story does not have two clearly opposing sides.
The factsheet for the Annual Survey of Industries 2024-25 was released.
The detailed Annual Survey of Industries report was published.
- Output above ₹500 crore
- 62.07% of total manufacturing output
- Large factories’ share of plant capacity
- About 3.6%
- Factories with output up to ₹10 crore
- 52.36% of operational units
- Plant and machinery valued at ₹10 crore or more
- 76.82% of total output
- Manufacturing corporate-sector GVA growth
- 9.28% year on year in FY25