New Delhi is charting an ambitious path to triple its exports to $1.3 trillion by 2035, fueled by structural reforms and eased regulations. The government is shifting gears from heavy public spending to a manufacturing-led growth model, positioning India as a global production powerhouse.
This strategy marks Prime Minister Narendra Modi’s third major push to transform India into the world’s manufacturing hub, enhancing its clout in international trade. A key report highlights the selection of 15 priority manufacturing sectors, including high-end semiconductors, metals, electronics, and labor-intensive leather goods.
Officials believe simplifying rules, cutting red tape, and improving the business climate will boost company output, attract investments, and make Indian products competitive worldwide. Amid global uncertainties, India stands out as a stable growth engine.
With supply chain pressures and geopolitical tensions reshaping trade, India is emerging as a reliable alternative manufacturing destination. Recent data underscores the positive impact of government policies. The Federation of Indian Chambers of Commerce & Industry (FICCI) survey reveals manufacturing performance hit an all-time high in Q3 FY2026, with industry confidence soaring.
91% of companies reported stable or improved production, up from 87% last quarter. Order book optimism reached 86%, aided by recent GST rate cuts. Participating firms boast annual turnovers exceeding ₹3 lakh crore, with supportive financial conditions—average interest rates at 8.9% and 87% accessing adequate bank funding for operations and long-term needs.
This momentum signals India’s potential to redefine global manufacturing dynamics by 2035.