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India's engineering sector is the largest of the country's industrial sectors. It accounts for 27% of all factories in the industrial sector and 63% of all international partnerships. Heavy engineering and light engineering are the two primary divisions of India's engineering industry.

In recent years, increased investment in infrastructure and industrial output has propelled India's engineering sector to new heights.

Reasons for Investing 

  • India's engineering exports are primarily to the United States and Europe, accounting for more than 60% of overall exports.
  • With foreign players on the lookout for expansion prospects in the Indian engineering sector, 100% FDI is available through the automatic method.
  • The robust growth of other capacity creator industries like power, oil & gas, and automotive sectors are driving the demand for engineering and related training.
  • The government's voluntary Vehicle-Fleet Modernisation Program (VVMP) for scrapping outdated vehicles is slated to bring an investment worth 1.35 billion USD.

Industry Growth Factors

  • Highly organized sector employing over 4 million direct and indirect workers
  • MSME to receive a financial grant of up to 10 million INR within 59 minutes of application through an online portal
  • Upskilled market knowledge, manufacturing cost, technology and creativity offer a competitive advantage drawing more investors
  • Rapid momentum in sectors like the Indian telecom equipment market, large-scale electronics manufacturing, and defense research and development, etc
  • The government is planning to set up Automated Testing Stations (ATS) and Registered Vehicle Scrapping Facilities under Vehicle Scrapping Policy bringing investments worth US$ 1.35 billion.
  • With the growing population, there's rising demand for electrical and construction equipment
  • Export value of Indian engineering goods projected at US$ 63 billion


TIGS brings out the best solutions to assist your business in finding the right way forward to penetrate the Indian market. We are a one-stop solution to make the right trade and investment decisions in India as per your business needs.

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