**Summary:**
The Ministry of Heavy Industries reports an increase in production within the capital goods sector since 2020-21. Key sub-sectors experiencing growth include Machine Tools, Dies, Moulds and Press Tools, Textile Machinery, Printing Machinery, Earthmoving and Mining Machinery, Plastic Processing Machinery, Food Processing Machinery, Process Plant Equipment, and Heavy Electrical Equipment. Estimated data for FY 2024-25 indicates significant growth in several sub-sectors, with Heavy Electrical Equipment reaching ₹372,200 crore and Earthmoving and Mining Machinery reaching ₹80,750 crore.
The capital goods industry currently contributes approximately 1.9% of India's GDP. To further enhance competitiveness, the Ministry launched the Scheme for Enhancement of Competitiveness in the Indian Capital Goods Sector Phase-II on January 25, 2022. This scheme provides assistance to Common Technology Development and Services Infrastructure with a total financial outlay of ₹1207 crore, including ₹975 crore in budgetary support and ₹232 crore in industry contribution.
Under Phase-II, 33 projects have been approved, including 9 Centres of Excellence (CoEs), 5 Common Engineering Facility Centres (CEFCs), 7 Testing and Certification Centres, 9 Industry Accelerators for Technology development, and 3 projects for the creation of Qualification Packs (QPs) for skill level 6 and above.
This information was provided by the Minister of State for Heavy Industries and Steel, Shri Bhupathiraju Srinivasa Varma, in a written reply in the Rajya Sabha.
Key Entities Referenced
Ministry of Heavy Industries: The Indian government ministry responsible for policies related to the heavy industry sector.
Capital Goods Sector: A sector of the Indian economy focused on the production of goods used by other businesses to produce consumer goods and services.
Scheme for Enhancement of Competitiveness in the Indian Capital Goods Sector Phase-II: An initiative by the Ministry of Heavy Industries to boost the competitiveness of the Indian Capital Goods Sector.
Indian Capital Goods Sector: The manufacturing industry in India that produces capital goods.
IEEMA: Industry Association related to Capital Goods Sector
IMTMA: Industry Association related to Capital Goods Sector
Shri Bhupathiraju Srinivasa Varma: Minister of State for Heavy Industries and Steel.
Rajya Sabha: The upper house of the Parliament of India, where a written reply was given.
Ministry of Heavy Industries
INCREASE IN PRODUCTION OF CAPITAL GOODS
SECTOR
Posted On: 08 AUG 2025 4:10PM by PIB Delhi
The increase in the production in the capital goods sector since 2020-21;
(in Rs. crore)
S.N. Sub-Sector of capital Goods 2020-21 2021-22 2022-23 2023-24 2024-25*
1 Machine Tools-Production 6602 9307 11956 13571 14286
2 Dies, Moulds and Press Tools 12294 13128 13915 15600 18400
3 Textile Machinery 5093 11658 14033 14639 10461
4 Printing Machinery-Production 10058 13215 16107 23479 29716
Earthmoving and Mining
5 29021 28674 37551 73000 80750
Machinery
Plastic Processing Machinery-
6 3710 3850 3912 4310 4827
Production
7 Food Processing Machinery 10250 12210 13203 13863 15249
8 Process Plant Equipment 21938 24000 23415 27396 31505
9 Heavy Electrical Equipment 167706 219158 258832 302900 372200
*Estimated data for FY 2024-25
Source: Industry Associations namely IEEMA, IMTMA, TAGMA, AFTPAI, PMMAI, PPMAI, TMMA,
ICEMA and IPAMA
As per the present estimates, the Capital Goods Industry contributes about 1.9% of GDPof the country.
On January 25, 2022, Ministry of Heavy Industries (MHI) launched the “Scheme for Enhancement of
Competitiveness in the Indian Capital Goods Sector- Phase-II” for providing assistance to Common
Technology Development and Services Infrastructure with total financial outlay of Rs. 1207 crores with
budgetary support of Rs.975 crores and Industry Contribution of Rs.232 crores.Under the Scheme, a total of
33 projects have been approved. These 33 projects include 9 Centres of Excellence (CoEs), 5 Common
Engineering Facility Centres (CEFCs), 7 Testing and Certification Centres, 9 Industry Accelerators for
Technology development and 3 projects for Creation of Qualification Packs (QPs) for skill level 6 and above.
This information was given by the Minister of State for Heavy Industries and Steel, Shri Bhupathiraju
Srinivasa Varma in a written reply in the Rajya Sabha today.
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TPJ/NJ
(Release ID: 2154128)