India stands as a beacon of opportunity for manufacturers across diverse sectors. With a burgeoning economy and proactive government policies, investing in India presents unparalleled advantages for companies looking to expand their footprint and tap into dynamic markets. Here is a brief information on some of the sunrise sectors to invest in India.
Electronics and semiconductors
India’s electronics industry is at the forefront of global innovation, driven by initiatives such as the Production Linked Incentive (PLI) Scheme and the SEMICON India Program.
India offers an enticing landscape for investors seeking technological advancements and market expansion as the semiconductor market poised to triple by 2026 with an expected production value of $300 billion by FY26.
Leveraging the momentum of initiatives like Digital India and Smart City projects, the demand for electronic products is surging, particularly in sectors like mobile phones, IT hardware and consumer electronics.
Government-backed schemes like the Modified Scheme for Setting up of Semiconductor Fabs in India provide substantial financial incentives, covering 50% of project costs, making India an attractive destination for semiconductor investments.
With a conducive regulatory environment and robust R&D ecosystems, India is poised to emerge as a global hub for semiconductor and electronics manufacturing, driving innovation and economic growth.
Electric Vehicles (EV)
India’s ambitious push toward electric mobility is creating vast opportunities for investors, propelled by initiatives like FAME II and 100% FDI allowance.
The EV sector ─ buoyed by 12000+ operational EV charging stations ─ presents compelling investment prospects across manufacturing and infrastructure development.
With a transformation target of electrifying 30% of all vehicles by 2030 and substantial registrations of electric two-wheelers, the market is ripe for expansion. The PLI Scheme for Advanced Chemistry Cells further incentivizes local manufacturing of advanced battery technologies, driving down costs and enhancing the competitiveness of electric vehicles.
India’s EV sector offers investors an opportunity to contribute to environmental sustainability while reaping substantial returns on investment.
Renewable energy
Setting a target to achieve 500 GW of non-fossil fuel-based energy by 2030, India offers immense potential for investors seeking to capitalize on the global shift towards clean energy.
Initiatives like the National Green Hydrogen Mission and Offshore Wind Energy targets provide frameworks for sustainable growth, attracting investments in green technologies.
Moreover, the sector benefits from initiatives promoting R&D, skill enhancement and international collaborations. These foster a conducive environment for innovation and growth.
Having a vast renewable energy potential, favorable regulatory framework and growing investor interest, India’s renewable energy sector offers a dynamic landscape for investors seeking to participate in the global transition toward clean and sustainable energy sources.
Agro and Food Processing (A&FP)
Initiatives like the Pradhan Mantri Kisan Sampada Yojana and liberalized FDI norms offer attractive investment avenues for both domestic and international investors.
From enhancing agricultural productivity to promoting food processing capabilities, India’s agricultural landscape presents diverse opportunities for value addition and exports. Schemes like the PLI Scheme for Food Processing Industry further incentivize investment in food processing infrastructure and technologies.
Backed by logistics support initiatives and digital platforms facilitating efficient trading, India’s A&FP sector provides a fertile ground for investors looking to contribute to food security and capitalize on the growing demand for processed food products domestically and globally.
Healthcare and Pharmaceuticals
In India, the healthcare and pharmaceutical sector represents a nexus of innovation and growth, driven by dynamic factors such as increasing healthcare expenditure and groundbreaking technological advancements.
Projecting the Indian medtech industry to grow to $50 billion by 2025 , this sector offers a wealth of investment opportunities across its diverse segments.
Government initiatives like Ayushman Bharat—aimed at enhancing healthcare accessibility and affordability—underscore India’s commitment to sectoral advancement.
Leveraging its prowess in vaccine production and global supply of generic medicines, India’s pharmaceutical industry presents a robust investment landscape, bolstered by favourable conditions including 100% FDI allowance and supportive infrastructure development.
As a key player in the global healthcare arena, India’s healthcare and pharmaceutical sector welcomes investors seeking sustainable growth and impactful returns.
India’s strategic advantages, coupled with sector-specific incentives and supportive policies, makes it an irresistible destination for manufacturers seeking growth and innovation. Embracing Make in India initiative not only fosters business success, but also contributes to India's journey toward becoming a global manufacturing hub.
India is the fastest-growing large economy and is set to become the world's third-largest economy by 2030–31. The above-mentioned sectors are some of the key sectors which will play a significant role in India’s growth. To learn more about the opportunities in these and other critical sectors, please visit our website or contact us.
