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Government Schemes Propel India’s Manufacturing Growth and Supply-Chain Rise

Government Schemes Propel India’s Manufacturing Growth and Supply-Chain Rise
Govt schemes accelerate India’s manufacturing growth, attract global supply‑chain shifts: Report · thehansindia.com

A new report says India’s factories are growing quickly.

Government programmes are helping companies build factories and move goods more easily.

These programmes include Make in India and the Production Linked Incentive scheme.

New roads, ports, freight corridors and logistics parks are also being developed.

Many global companies want to reduce their dependence on production in one country.

Because of this, some companies are looking at India for manufacturing and sourcing.

India also has many customers inside the country and a large workforce.

The report says trade agreements could help Indian manufacturers sell more goods abroad.

Key facts

Reported 2025–26 performance
India’s manufacturing sector recorded double-digit growth, according to the report.
India’s 2022–25 growth
Average manufacturing growth was 4.15%, compared with a 2.19% global average.
Pre-pandemic comparison
India’s average manufacturing growth was 3.44% during 2016–19, below the global average of 4.39%.
China comparison
China’s average manufacturing growth fell from 6.79% before the pandemic to -0.07% during 2022–25.
Government initiatives
The report highlights Make in India, the Production Linked Incentive scheme, PM Gati Shakti and the National Logistics Policy.
Infrastructure measures
Industrial corridors, multimodal logistics parks, dedicated freight corridors, port modernisation and expanded highways are intended to improve supply-chain efficiency.
Trade negotiations
The report says negotiations with the European Union and the United Kingdom could improve market access for Indian manufacturers.

Quotes

Assahifa publication

Morocco-based publication reporting on global corporate supply-chain strategies

“Multinational corporations have increasingly adopted strategies such as China+1, friendshoring, and nearshoring to diversify production across multiple countries and enhance supply chain resilience.”
thehansindia.com
“This reversal highlights shifting global manufacturing dynamics and presents India with an unprecedented opportunity to capture a larger share of international production and investment.”
thehansindia.com

Sources

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