Statistics, news & updates: everything you need to know about the Machinery Industry in India


  • Summary
  • COVID-19 Impact
  • Industry Clusters
  • Growth Drivers
  • Key Players
  • Market Stats


  • Construction Machinery   & Heavy Trucks
  • HVAC (this includes cooling towers)
  • Industrial Machinery
  • Material handling equipment
  • Oil & Gas and Mining equipment
  • Packaging machinery
  • Pump & Compressor
  • Tools including Handtools
  • Woodworking machinery


India Machinery industry around which all the industrial manufacturing takes place in the country. The Machinery industry in India has a potential in meeting the enormous demand of goods, both in the domestic as well as the international market. As a matter of fact, the machinery industry in India forms the backbone of the manufacturing sector by supplying all the necessary equipment’s and machinery required for production. Machinery of various types is required for production. Consequently it Depends on the field where their use is, machinery can be large scale, medium scale or small scaled. Additionally, India is one of the leading exporters of machines for the steel industry, mining equipment’s for the mining industry, and equipment’s for the fertilizer industry, cement industry, petrochemical manufacturing industry and heavy engineering equipment’s.

Covid Impact

Imports of heavy machinery and equipment on which our manufacturing and other industries are crucially dependent have been going down. The import of these capital goods is important for maintaining a threshold on output expansion, as many sectors that feature in India’s major exports are also in India’s top imports.

In March 2021 the IHS Markit India Manufacturing Purchasing Managers’ Index (PMI) slipped to a seven-month low of 55.4 from 57.5 in February 2021. Data for April indicates a slight improvement to 55.5 after declining to a seven-month low in March at 55.4. According to a survey conducted by United Nations Industrial Development Organization (UNIDO), after the lockdown was imposed last year, manufacturing in India had stopped, except for the rice milling sector where production reportedly dropped by half. In manufacturing, some of the most affected industries have been metals and chemical products, motor vehicles, machinery and equipment, textiles, etc.

The statistics below is from Industry data available on pre-Corona virus impact.

Growth Drivers
  • The agriculture Machinery industry in India is helping immensely in increasing the productivity of land and labour. Additionally, some of the machinery used in the agriculture industry consists of soil working equipment, tractors, power tillers and engines, processing machinery, crop protection machinery, irrigation & drainage equipment machinery, milling equipment etc. On the other hand, there are government schemes that provide loans to farmers to buy agriculture machinery to increase their yield.
  • Further, the textile Machinery industry in India is the second-largest in the world. Manufacturers are increasingly making use of sophisticated textile machinery to produce the best goods. Above all, they are trying to meet the increasing demand of the global market.
  • The electrical machinery industry is now de-licensed, allowing  100% FDI  in this sector. However, the move will facilitate the entry of major global players into the electrical Machinery industry in India.
  • In addition to this, India is preferred by global manufacturing companies as an outsourcing destination, due to its cost competitiveness. Even more because of the favourable investment conditions and better engineering and design capabilities with high-end manufacturing sets ups to meet global requirements.

Key Players in India


  • Voltas
  • Telco Construction Equipment
  • Bharat Earthmovers
  • B G Shirke Construction Equipment
  • Terex Vectra Equipment Salgaocar Engineers
  • Volvo Construction Equipment India
  • Larsen & Toubro
  • Ingersoll Rand India
  • Caterpillar India
  • Escorts Construction Equipment


  • JCB India
  • Metso Minerals
  • Atlas Copco
  • Trane Technologies

Map – Industry Clusters

Market Stats
  • Although the construction sector is another sector that makes use of machinery on a very large scale. Therefore, it is anticipated that through 2020 we may need about $10 billion of construction machinery in the country.
  • Nonetheless, the machinery industry in India is projected to reach US$ 7 billion by 2020 from US$ 4.2 billion in 2017.
  • While, we can see that India is expected to expand at a compound annual growth rate (CAGR) of ~7% until 2023.
  • Furthermore, construction output will grow on an average by 7.1% each year.
  • Alternatively, the size of domestic textile machinery industry will hit USD 4.62 billion in the next five years from the present USD 2.9 billion.
  • Besides, the textile sector is one of the largest contributors to India’s exports, accounting for approximately 11 per cent of the total outbound shipments. Not to mention, India’s overall textile exports during FY16 stood at USD 40 billion and is expected to reach USD 223 billion by 2021.
Frequently Ask Questions
Talk to Our Experts