The union government’s Make in India initiative received a huge push when Prime Minister Narendra Modi implored the country to become self-reliant with his Atmanirbhar Bharat Abhiyan in the wake of the coronavirus pandemic and the consequent lockdown that has brought the nation’s economy to a grinding halt. The new initiative will likely give Indian industry a fillip with companies either starting operations or reinforcing ongoing projects in the major industrial hubs within the country. Real estate firm JLL has listed the following nine Indian locations as attractive manufacturing destinations.
Mumbai accounts for 5 percent of India’s GDP, 70 percent of its capital transactions and 20 percent of the warehousing activity in the country, making it a natural fit for a manufacturing hub. Aurangabad has five SEZs, and has developed industrial clusters for automotive, pharmaceuticals, aluminium and renewable energy. It is fast emerging as the second auto and engineering hub in Maharashtra after Pune.
Pune attracts about 20 percent of the entire industrial investment in the country. It is an established automobile, durable goods manufacturing and an IT hub with several Indian and foreign industry majors working in the city. It is the third largest contributor to India’s IT exports and a prominent engineering and R&D hub, with more than 3,200 active startups.
NH48 is the main highway connecting Delhi NCR with Mumbai. Several industrial clusters (Gurugram, Manesar, Bhiwadi, Bawal, Neemrana and Ghiloth) have developed along the highway (especially in the vicinity of NCR) that connects the Northern hinterland to Jawaharlal Nehru Port, Navi Mumbai. Haryana contributes nearly half of the passenger cars manufactured in India.
Noida-Greater Noida-Yamuna Expressway has witnessed immense interest from IT/ITeS and electronics hardware manufacturing firms. Noida-Greater Noida is likely to turn tables over the next decade on the strength of its excellent connectivity — two National Highways (NH-24, NH-58), Eastern Peripheral Expressway and expansion of Noida Metro. The region will be India’s electronics manufacturing hub and home to largest foreign direct investments cases. It accounts for 40 percent of India’s mobile manufacturing.
Bengaluru, often referred to as the Silicon Valley of India, is also an established headquarters to some of the largest public sector heavy engineering industries. Over the last few decades, the city has emerged as a leader in a plethora of sectors, backed by a robust IT, R&D and startup ecosystem. About 70 percent of India’s chip designers work in Bengaluru and it accounts for nearly a third of the Indian startups.
Chennai is the largest industrial and commercial centre of South India. From Madras to Chennai, this city has historically embraced diversified industries. The city is a hub for the manufacturing of automobiles and auto components, engineering, textiles and garments, leather products, software and IT-enabled services. The Tamil Nadu capital accounts for a third of India’s auto parts production and 16 percent of its electronics hardware production.
Hyderabad has emerged as the second Silicon Valley of India and is often referred to as Cyberabad. The region is a significant contributor to the IT, pharma, biotech, medical devices, aerospace, defence and ESDM sectors. Hyderabad accounts for a third of the global vaccine production and 16 percent of India’s software exports. Apple, Amazon, Facebook, Microsoft, Uber, Google (ongoing) and Qualcomm (ongoing) have their largest campus outside of the US in Hyderabad.
Ahmedabad has been an industrial base for sectors such as chemicals, textiles, pharmaceuticals and agro & food processing industries. Sanand – Mandal – Becharaji industrial belt is fast emerging as a major automotive manufacturing cluster, driven by investments by Japanese companies. Ahmedabad accounts for a tenth of India’s pharmaceuticals market.
Vadodara is Gujarat’s third largest city with an urban population of 1.8 million. The city is also an educational hub and has a vibrant manufacturing landscape spanning across sectors like power transmission and machine tools, pharmaceuticals, chemicals, biotechnology, engineering, auto and defence. About 35 percent of India’s power transmission & distribution equipment manufacturers are located in Vadodara.