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‘Manufacturing growth can exceed GDP rate’
September 30, 2025
|Financial Express Ahmedabad
To increase manufacturing share in the Gross Domestic Product (GDP), which is hovering around 16-17% of GDP, India’s factor costs must become more competitive, ease of doing business must improve further, and the SME sector must see holistic development, according to Rahul Jain, managing director & senior partner, India system leader, BCG. He also stressed the need for an ecosystem that allows value chain localisation, in an interview with Prasanta Sahu. Excerpts:
Consumption, including that of services, has been the driver of India's growth for several years. Manufacturing was not at the forefront. Due to a better policy environment, PLI schemes, and similar initiatives, it (manufacturing) is now back on the radar, and many groups are actively evaluating which manufacturing spaces to enter.
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