SECTORAL ANALYSIS

MANFACTURING

Introduction Leading names in manufacturing sector Different sectors Contribution of manufacturing sector to

India's GDP Sector and state wise contribution Current scenario Government initiative Challenges, expectation, potential Larsen and toubro

“Manufacturing ”is the term used to refer to the process of using tools, machines and labour to produce goods that are either for use or for sale. 

Manufacturing sector is:

Agglomeration of industries engaged in chemical, mechanical, or physical transformation of materials, substances, components into consumer or industrial goods.

The manufacturing industry contributes 16 percent to India’s GDP.

sector 2007-08

2008-09 2009-2010

2010-2011

2011-2012

agriculture 5.8 0.1 1.0 7.0 2.8

industry 9.7 4.4 8.4 7.2 3.4

Manufacturing

10.3 4.3 9.7 7.6 2.5

service 10.3 10.0 10.5 9.3 8.9

Source: central statistics office (cso)

Basic goods Capital goods

Intermediate goods

Consumer goods

ElectricityCoal

FertilizersCement

Steel casting

Commercial vehiclesElectric motorsWagonsHeavy

locomotives

Giant tyresPetroleum

BoltsPaintsJute

Plywood

PaperSugarWheatSoapPhoneTea

AUTO INDUSTRY CHEMICALS ELECTRONICS ENGINEERING FOOD PROCESSING GEMS AND JEWELLERS LEATHER MACHINE TOOLS TEXTILES WATER MINING

Source: central statistics office (cso)

Spectacular growth after slowdown in 90’s.

At present 9th largest manufacturing nation.

More diversification & better availability of skilled man power.

Significant player in aerospace industry undergoing transformation.

Generates about 45 million jobs, 80% of which are unorganized segment.

Potential to create up to 90 million jobs by 2025.

Source: central statistics office (cso)

National manufacturing competitiveness council (NMCC).

Set up in September 2004.

Inter disciplinary & autonomous body at highest level.

Sustain growth of manufacturing industries.

Suggest ways & means for enhancing sub sectors having potential of global competitiveness.

Manufacturing sector requires urgent attention both at macro and micro levels

Enhancing the skills of the workersUp gradation of technologyHigh cost of production, qualityExpensive financingLagging in research and developmentLow labor productivityPoor infrastructureRaw material cost

Increase in rate of job creation. Focus on level of domestic value

addition. Enhance the global competitiveness

through appropriate policy support. Ensure sustainability of growth. Increase in manufacturing sector growth

to 2-4% more than GDP growth for the economy and increase share to 25% of overall GDP by 2025.

Improving the urban infrastructure. Quality improvement In vocational and

higher education. Increase investments in research and

development

Only manufacturing sector has the capacity to absorb large labor pool of the country-(CISCO).

Manufacturing sector has great potential to employ people and increase the income levels-(FICCI).

India placed 2nd in the Deloitte Manufacturing Competitive Report.

India has beaten Brazil in the production of motor vehicles which is good sign for countries growth in value added manufacturing.

Type Public

Industry Conglomerate

Founded Bombay Presidency, British India (1938)

Founder(s) Henning Holck LarsenSøren Kristian Toubro

Headquarters

L&T House, Ballard Estate,Mumbai, Mahārāshtra, India

Area served India, Middle East, East Asia and Southeast Asia

Key people K. Venkataramanan (CEO & MD)A. M. Naik (Executive Chairman)

ProductsConstruction

Heavy equipment

Electrical equipment

Power

Shipbuilding

Financial services

IT Services

Revenue  US$ 13.6 Billion (2013)

It's all about Imagineering

BSEMar 21,1216.55-3.70 (-0.30%)

NSEMar 21,1216.60-2.45 (-0.20%)

L & T cassidian limited is joint venture between L & T and EADS Deutschland. Both partners contribute their technology and

expertise in Radar, Avionics, Electronic warfare Mobile system segments.

Other Ventures

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