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
Manufacturi
ng
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
Electricity
Coal
Fertilizers
Cement
Steel casting
Commercial
vehicles
Electric
motors
Wagons
Heavy
locomotives
Giant tyres
Petroleum
Bolts
Paints
Jute
Plywood
Paper
Sugar
Wheat
Soap
Phone
Tea
 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 workers
Up gradation of technology
High cost of production, quality
Expensive financing
Lagging in research and development
Low labor productivity
Poor infrastructure
Raw 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 Larsen
Søren 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)
Products Construction
Heavy equipment
Electrical equipment
Power
Shipbuilding
Financial services
IT Services
Revenue  US$ 13.6 Billion (2013)
It's all about Imagineering
BSE
Mar 21,
1216.55
-3.70 (-0.30%)
NSE
Mar 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
 www.ibef.org
 www.reuters.com
 www.wikipedia.com
 www.investopedia.com
 www.investorzclub.com
 www.machinemag.com
 www.articles.economictimes.indiatimes.com
Manufacturing industry analysis

Manufacturing industry analysis

  • 1.
  • 2.
     Introduction  Leadingnames 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
  • 3.
     “Manufacturing ”is theterm 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.
  • 6.
     The manufacturingindustry 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 Manufacturi ng 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)
  • 7.
  • 8.
     AUTO INDUSTRY CHEMICALS  ELECTRONICS  ENGINEERING  FOOD PROCESSING  GEMS AND JEWELLERS  LEATHER  MACHINE TOOLS  TEXTILES  WATER  MINING Source: central statistics office (cso)
  • 10.
     Spectacular growthafter 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.
  • 11.
  • 12.
     National manufacturingcompetitiveness 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.
  • 13.
    Manufacturing sector requiresurgent attention both at macro and micro levels Enhancing the skills of the workers Up gradation of technology High cost of production, quality Expensive financing Lagging in research and development Low labor productivity Poor infrastructure Raw material cost
  • 14.
     Increase inrate 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.
  • 15.
     Improving theurban infrastructure.  Quality improvement In vocational and higher education.  Increase investments in research and development
  • 16.
     Only manufacturingsector 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.
  • 17.
    Type Public Industry Conglomerate FoundedBombay Presidency, British India (1938) Founder(s) Henning Holck Larsen Søren 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) Products Construction Heavy equipment Electrical equipment Power Shipbuilding Financial services IT Services Revenue  US$ 13.6 Billion (2013) It's all about Imagineering BSE Mar 21, 1216.55 -3.70 (-0.30%) NSE Mar 21, 1216.60 -2.45 (-0.20%)
  • 18.
     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
  • 19.
     www.ibef.org  www.reuters.com www.wikipedia.com  www.investopedia.com  www.investorzclub.com  www.machinemag.com  www.articles.economictimes.indiatimes.com