Capital goods sector is the base of many industries and thus is an essential component of manufacturing. With a total market size of US$ 92 billion and production valued at US$ 32 billion, Capital Goods sector today, contributes to 12% of India’s manufacturing output and 1.8% to GDP. The capital goods industry employs 1.4 million of people and is estimated to employ 2.8 million by 2017. Although there is a potential of propelling the sector to approximately INR 7 lakh crore over the next 4- 5 years, the sector is currently facing insufficient off-take due to lack of domestic and global demand. CII has a National Committee on Capital Goods and Engineering having representation of over 35 leading companies and 6 sub sector associations. It works actively with the Department of Heavy Industry to foster the growth and development of the sector. One of the important element for this committee for the coming year will be to Formulate a "National Capital Goods Policy" with a view to create an enabling policy environment for faster and comprehensive development of the sector.The policy is currently under preparation and as part of a wider consultation, members may like to view the draft base paper uploaded on www.cii.in and furnish their comments.
Capital goods sector is the base of many industries and thus is an essential component of manufacturing. With a total market size of US$ 92 billion and production valued at US$ 32 billion, Capital Goods sector today, contributes to 12% of India’s manufacturing output and 1.8% to GDP. The capital goods industry employs 1.4 million of people and is estimated to employ 2.8 million by 2017. Although there is a potential of propelling the sector to approximately INR 7 lakh crore over the next 4- 5 years, the sector is currently facing insufficient off-take due to lack of domestic and ...