Some of the most prominent manufacturing hubs in India

31-May-2016 13:04 pm 0

Indian manufacturing sector has been on an ever-increasing rise and has become a prominent player in contributing to the Indian economy by employing millions of people. The economic strength of our country depends a lot upon the manufacturing sector directly as it is one of the biggest sector contributing to our GDP. Some of the past years brought mixed results by contributing around 15% to the GDP. This has led to government’s projection of aiming at a higher value i.e. 25% contribution to the GDP by the year 2022 under National Manufacturing Policy along with the “Make in India” campaign led by PM Modi.

Let us look at the current scenario by taking examples of one of the top 5 manufacturing hubs of India and their subsequent contribution to the Indian economy –

  1. Greater Noida (Uttar Pradesh)

Greater Noida has emerged as one of India’s best auto manufacturing hubs. There are a number of big companies having their manufacturing plants here like Yamaha, Honda Siel Cars, Moser Baer, LG Electronics India and Haier Appliances among others. The auto industry witnessed a growth of 11% during FY 2015 which was mostly contributed by the organized players and their manufacturing units in Noida. It is going to be the new electronic hub of India with Samsung phones being manufactured along with Lava international assembling facility at Greater Noida contributing to growth and economic reforms. Oppo also announced to set up a new manufacturing unit here.  Its strategic location, road connectivity and uninterrupted supply of resources have attracted a lot of big players here. However, migrant and non-skilled labor is still an issue.

  1. Nashik (Mumbai)

Nashik has wineries, electrical engineering and auto component industries and is approximately 200 km away from Mumbai. The giants like Bosch, L&T, CEAT, and Siemens all have factories here, reasons being cheap land costs and labour supply.  Also, Mobiletele has started to expand its plant infrastructure in Nashik, the industrial district of Maharashtra. Still the slowdown as been witnessed. The place is well connected to roads and two airstrips yet there is no airport.

  1. Manesar, Haryana (Chandigarh)

Well connected by rails and roads and having a strategically placed location, Manesar is one of the most favored local hubs for auto industries. The companies like Maruti Suzuki, Honda Motorcycle & Scooter India have their factories here, the reason being close proximity to NCR and infrastructural reforms. However, frequent power cuts and water shortage is a bit of concern here. Yet Maruti aims to increase its production at Manesar plant and aims at making India a global hub for producing 99% localized Maruti Baleno.

  1. Hospet (Bangalore)

The steel and sponge iron manufacturing hub has some major players like JSW Steel, Kalyani and Kiloskar, JSW Steel being the largest one. Dedicated power supply makes it a favored steel manufacturing destination however the poor road conditions and water logging makes the transportation a bit wary. Also, it has attracted a huge investment from Glaxo Smithline which is going to be GSK’s largest Greenfield facility in the world with a 1000 crore investment.

  1. Aurangabad (Mumbai)

The place has factories of some industry giants like Lupin, Videocon, Miller, UB etc and major industries being pharma and brewing. The location is an advantage and so is the weather that makes it suitable for pharma and beer industries. The healthcare and pharma sector has seen a growth of 10% and players like Deloitte, Lupin have a major contribution to that. However, recurrent power shortage poses an issue. There is also the need to a well made four-lane highways connecting to Mumbai for better access.


The FDI in the Indian manufacturing sector has witnessed a swift growth in the past seven years, thanks to the various government-led campaigns. The abundance of the labor pool and low cost of labor are the most attractive features that are driving companies to open up their manufacturing units. The manufacturing sector needs to register more than 12% growth to sustain overall GDP of 9% p.a. It can be well said that the future of a country lies in manufacturing and India is advancing here step by step.



Article Name
Some of the most prominent manufacturing hubs in India
A brief description about some of the most prominent player contributing to the Indian economy.

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