Industrial manufacturing is a major growth sector for the Indian economy with diverse manufacturing companies including those of machinery and equipment, electrical and metal products, cement, building and construction material, rubber and plastic products and automation technology products.
The manufacturing sector in India grew by just 2.9% in FY12 as against 8.9% in FY11. While global uncertainty and the EU crisis tampered growth, this sharp deceleration can also be attributed to the tight monetary regime adopted by the government in its attempt to curb inflation. End-use demand slowed down affecting overall industrial production in the country. Many fresh projects came to a standstill and government policy intervention to facilitate growth was found wanting.
This sector faces some key challenges:
At PwC, our India Industrial Manufacturing practice has sector specialists working with Indian as well as multinational companies. We are an integral part of PwC's Industrial Manufacturing network giving our experts access to industry specialists in over 140 countries. It is with this kind of depth and breadth of experience that PwC assists both large and medium-sized industrial manufacturing companies through our offices across India to reduce costs, transform, innovate, improve performance and grow.