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Enabling Growth
Business Standard
|August 29, 2025
Structural reforms are needed in manufacturing
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The Annual Survey of Industries (ASI) 2023-24 data, released on Wednesday, indicates that India's manufacturing sector is growing, but structural concerns persist. Gross value added (GVA) rose 11.9 per cent at current prices in FY24, but overall output grew about 5.8 per cent, which is a sharp slowdown from FY23, when output had expanded by 21 per cent on the back of the post-pandemic rebound. Employment, too, grew 5.9 per cent, but output per persons engaged declined. For a labour-abundant country such as India, where manufacturing must support incomes, these are not an encouraging set of numbers.
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