Engineering Industry in India: Essay and SWOT Analysis

The manufacturing sector, so called backbone of developed and developing economies and the most dominant sector within industry witnessed a decline in growth to 2.7 per cent in 2011-12 and 1.9 per cent in2012-13 compared to 11.3 per cent and 9.7 per cent in 2009-10 and 2010-11, respectively. The moderation in industrial growth, particularly in the manufacturing sector, is largely attributed to sluggish growth of investment, squeezed margins of the corporate sector, deceleration in the rate of growth of credit flows and the fragile global economic recovery. . Industrial growth remained vulnerable due to several domestic factors and external shocks. Infrastructure and energy constraints, decline in demand for India's exports, and fragile recovery in investment are the risk factors. The policy initiatives taken by the government in the recent past have generated some optimism. N the present chapter opportunities and challenges before engineering industries have been discussed in the present industrial scenario.