India's manufacturing renaissance: Building a new industrial architecture

The architecture of a new industrial era is being shaped by sustained political leadership and long-term institutional thinking

For much of independent India’s economic history, manufacturing was spoken about more as a potential than an outcome. The ambition was always there. Execution, less so. Fragmented infrastructure, policy uncertainty, and an  ecosystem that made scale hard to sustain all played their part. Logistics was  something to be endured rather than leveraged. Manufacturing mattered,  everyone agreed — yet it often sat on the periphery of national strategy. 

That reality has changed. And not quietly. 

Over the past decade, under the dynamic leadership of Prime Minister Narendra  Modi, India has seen a governance-led shift that has brought manufacturing back to the centre of economic thinking. What sets this phase apart is not just intent, but clarity and follow-through. Manufacturing is no longer an add-on to growth  plans — it is increasingly part of how India sees itself as a country that builds, produces, and competes. 

From intent to infrastructure 

The most significant defining aspect of the Modi government has been the redefinition of the state’s role in economic development. Instead of managing enterprise, the emphasis has been on building the conditions in which enterprise can thrive. This is not always visible in headlines, but it is deeply felt by industry. 

Manufacturing does not scale on announcements. It scales when supply chains  move predictably. When inputs arrive on time. When finished goods reach markets without friction. And when capacity planning can be done with confidence. 

The government’s sustained push on infrastructure, championed consistently by Prime Minister Modi, has addressed constraints industry struggled with for decades. Highways, freight corridors, port modernisation, and logistics  integration have reduced friction across supply chains. Initiatives such as the PM Gati Shakti National Master Plan reflect an understanding at the highest level that modern manufacturing depends on coordination, speed, and visibility.  Infrastructure, in this context, is not just an asset. It is a strategic enabler. 

Industrial policy with clarity 

Industrial policy has also undergone a clear shift in philosophy. Under Modi’s visionary leadership, the move away from broad subsidies towards outcome-linked support has been deliberate. The Production Linked Incentive (PLI) schemes are a clear expression of this thinking. 

Rather than protecting inefficiency, the approach rewards performance and  scale. This sent a strong and unambiguous signal to both global and domestic  industry: India is prepared to compete, and it will support those willing to commit capital and capability. 

The response across electronics, pharmaceuticals, automotive components, and advanced manufacturing suggests that this clarity was both timely and necessary. For manufacturing leaders, policy consistency is critical. Long gestation investments depend on predictability, and the continuity of direction under the Modi government has enabled enterprises to plan beyond short  political or economic cycles. 

Digitalisation as a silent multiplier 

Another hallmark of the Modi era has been the expansion of digital public infrastructure. Platforms such as Aadhaar, UPI, and integrated digital compliance systems have quietly reshaped how businesses interact with the state and with each other. 

For manufacturing enterprises, particularly micro, small and medium enterprises, this digital backbone has reduced transaction costs and simplified compliance. Processes that once  required time, intermediaries, and discretion are now more transparent and efficient. This reduction of friction may not dominate speeches, but it has  materially improved ease of doing business.

Digitalisation has also widened participation. Smaller enterprises can now access formal supply chains, capital, and markets with an ease that was hard to imagine a decade ago. In that sense, digital public infrastructure has become one of the Modi government’s most effective industrial enablers. 

People at the centre of production 

Manufacturing ultimately succeeds or fails on the strength of its people. This recognition has increasingly informed policy choices under Prime Minister Modi,  particularly in the emphasis on skilling and workforce readiness. 

For a country with India’s demographic profile, this alignment is essential. The growing focus on vocational training, industry-linked skilling programmes, and capability development is beginning to translate demographic potential into  productive capacity. Precision skills, quality awareness, and technical competence are no longer optional. They are becoming the norm. 

This shift also restores dignity to industrial work. Manufacturing today offers learning, mobility, and long-term career pathways. As skills deepen,  competitiveness improves, reinforcing the link between people, productivity,  and global relevance. 

A shared responsibility 

What is unfolding is not the result of government action alone. Even under decisive leadership, policy can only set direction and build platforms. Enterprise must still invest, innovate, and execute. 

The strength of the current phase lies in this alignment between public intent, articulated clearly by Prime Minister Modi, and private capability responding at scale. India remains among the fastest-growing major economies in the world, and manufacturing will be central to sustaining that momentum, particularly as global supply chains diversify. 

This opportunity, however, demands discipline. Execution, quality, and competitiveness will determine outcomes. The foundations have been laid with  intent and foresight. What follows will test both institutions and industry. 

Beyond a moment 

This is not a phase, nor a slogan-driven spike. It is the early architecture of a new industrial era shaped by sustained political leadership and long-term institutional thinking. When vision is matched with execution, and when  governance and enterprise move in step, manufacturing becomes more than an economic activity. It becomes a nation-building force. 

India has arrived at such a moment. The opportunity is real. The foundations are  visible. And the responsibility, unmistakably, is shared. The Prime Minister has created the environment and conditions; it is for us in industry to build on it and  take the country forward.

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Onkar Kanwar is the chairman of Apollo Tyres Ltd