Category: Comforge

Gujarat’s Manufacturing Industry & the Road Ahead

Gujarat’s manufacturing industry is set to take the center stage, as it is one of the leading industrialized states in India with a GSDP of ₹16.59 trillion. The state’s GSDP increased at a CAGR of 10.02 per cent between 2015-2016 and 2020-21. It could grow further by 4-folds to ₹40 lakh CR by 2030. It is the top recipient of FDI among states, with a 37 per cent share of total FDI equity inflows. The sectors of computer software & hardware and construction & infrastructure-related activities are the major contributors during FY21. Maharashtra and Karnataka with 27 per cent and 13 per cent respectively follows.

Gujarat’s manufacturing industry

The Government of India announced the Production-Linked Incentive (PLI) scheme in March. It outlays ₹40,000 Cr for the benefit of 10 different sectors, including electronics and technology. While they continue to come up with various measures, they’ve supported the infrastructure sector by inviting investments from the sovereign wealth funds, interests to which will be tax-exempt.

The recent budget focuses on capacity improvement to spend for the rural sector, infrastructure creation, and investment invitations. In a seminar titled Gujarat’s sprint to 2022, Gujarat Chief Minister Vijay Rupani mentioned the Gujarat manufacturing industry alone will be contributing a staggering 30 per cent to the state GSDP by 2030. Undoubtedly, the state has been a power surplus. With the help of desalination plants and the best water management technology, he added, Gujarat could soon become a drinking water surplus state.

Scope for the sector in Gujarat

Gujarat serves the best soil to root business ideas. Momentously, the government is initiating measures to improve infrastructure, regulations, and job opportunities. It is finally ready to help the country step up for global domination. Import substitution, reviving demands and promoting export-oriented industrialization drives the Indian economy. The government has also declared incentives for niche electronics manufacturers. As a result, they’re now eligible for a payment of 4-6% of their incremental sales over the next five years.

ENGIMACH 2021 – organized, managed and marketed by K and D Communication Limited, is determined to be one of the prime contributors to the development of the machine tools industry. It enables its participants and visitors with cutting-edge and powerhouse technology that stands for engineering excellence, innovation, quality, and reliability.

The showcase at ENGIMACH has offered a quintessential launchpad for new ideas, products and services. With a conducive environment for forging joint ventures and collaborations, it lays out an open marketplace to source ideal solutions. Over 1,00,000 business visitors and beneficiaries in the Engineering & Machine Tools Industry have been a part of the trade show.

December 26, 2019