In a report titled The Trillion-Dollar Manufacturing Exports Opportunity for India, Boston, MA-headquartered Bain & Company posits that India’s manufacturing exports are set to touch the $1 trillion mark by 2028. Over the last two years India’s manufacturing exports stood at $418 billion in FY22, rising at a CAGR of more than 15%.
According to Bain, the six sectors driving India’s export growth will be:
- Electrical and electronics — projected to grow at a CAGR of 35-40 per cent ($120-145 billion) by FY2028
- Chemicals — estimated to grow at CAGR of 19-23 per cent ($110-130 billion) by FY2028.
- Textiles and apparel — expected to witness CAGR growth of 13-16 per cent ($95-110 billion) in the next few years.
- Industrial Machinery — estimated to grow at CAGR 0f 18 – 20 per cent ($70-75 billion) by FY2028
- Automotive — expected to grow at a CAGR of 15-18 per cent ($45-55 billion) by FY2028,
- Drugs and pharmaceuticals — projected to grow at a CAGR of 16-18 per cent ($45-50 billion) by FY2028.
The report further said that India is on the cusp of structural shifts in the manufacturing sector. This has been enabled by a post-pandemic global focus on supply chain diversification.
Deepak Jain, partner, Bain and Company and co-author of the report said, “The positive developments in the manufacturing sector, driven by production capacity expansion, government policy support, heightened M&A activity, and PE/VC-led investment, are creating a robust pipeline for the country’s sustained economic growth in the years to come.”
You can read Bain & Company’s report here.
Last updated: December 26th, 2025
