New Delhi, August 12: The central government announced on Wednesday that, according to revised series data, the Gross Value Added (GVA) in manufacturing is expected to grow at a compound annual growth rate (CAGR) of 10.88% from FY 2022-23 to FY 2025-26 at constant prices.
Union Minister of State (Independent Charge) Rao Inderjit Singh informed the Lok Sabha that the available data under the relevant series does not indicate any significant change in the share of manufacturing in total GVA.
The minister emphasized that the government has implemented several structural reforms and initiatives to strengthen the manufacturing sector and reduce its vulnerability to external shocks.
These initiatives include Production Linked Incentive (PLI) schemes, the PM Gati Shakti National Master Plan, the National Logistics Policy, the Bharat Industrial Development Scheme (BHAVYA), semiconductor and electronics manufacturing, critical minerals promotion, and support for MSMEs. Plans to promote surface coal/lignite gasification projects, improvements in ease of doing business, and the National Industrial Corridor Development Program (NICDP) are also part of this strategy.
According to the minister, “The aim of all these initiatives is to strengthen domestic manufacturing, diversify supply chains, reduce import dependence in strategic sectors, enhance energy security, and improve the robustness and competitiveness of India’s manufacturing ecosystem.”
The Ministry of Statistics and Programme Implementation has updated the base year for national accounting data from 2011-12 to 2022-23, with the revised series released in February 2026.
The Economic Survey for 2025-26 indicates that medium and high-tech industries now contribute 46.3% to India’s manufacturing value added, signaling a gradual shift towards a more modern production structure. With reforms, sector-specific initiatives, and a robust supply chain, manufacturing remains a key driver for India’s goal of becoming a $35 trillion economy by 2047.
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