Manufacturing share in India's GVA down to 15.1% in FY20: Exim Bank study

Recent performance of the sector points to underlying inertia, which has translated into greater dependence on imports to meet growing domestic demand

The share of manufacturing in India’s gross value added declined to 15.1 per cent in 2019-20, from 18.4 per cent in 2010-11 despite the strong and growing private consumption demand in the country, a study published by the Export-Import Bank of India (India Exim Bank).

In a webinar on Tuesday, the bank pointed out that recent performance of the manufacturing sector in India is indicative of an underlying inertia, and this weakness has translated into greater dependence on imports to meet the growing domestic demand over the years. India's imports fell by 8 per cent in 2019-20. As a result,