Frugal Engineering Concept Catches On in India’s High-Performing Manufacturing Sector
January 5, 2016 | Frost & SullivanEstimated reading time: 3 minutes
Encouraged by the strong contribution from the industrial and manufacturing sector, India will shift from a services-based economy to an industry-driven one by 2025. The manufacturing sector could account for a whopping $1,149 billion by 2022 in terms of gross value-added to gross domestic product (GDP). Frugal innovation will be the key value proposition in the manufacturing space. Already, business models surrounding this concept have yielded low-cost alternatives for simple goods like tablets and complex ones such as satellites.
According to the new analysis from Frost & Sullivan on New Mega Trends in India, India will be among the global leaders in at least 10 big markets of the future. For one, it will be the fifth largest exporter and top manufacturer of chemicals worldwide. It will also emerge as the biggest consumer market for luxury goods and technology services such as direct-to-home TV and mobile apps.
Another area in which India will make great progress is connectivity, with around four billion devices expected to be connected in 2025. The nation’s digital economy will see explosive growth due to the proliferation of devices and the Internet economy will hit $266 billion in 2020, accounting for nearly seven percent of the country’s GDP.
“With the Internet boom, online retail will emerge as one of the fastest-growing industries in India, holding a market potential of $35.08 billion by 2025,” said Frost & Sullivan’s Visionary Innovation Group Team Leader, Archana Devi Vidyasekar. “This will compel many retailers to move from a bricks only model to a bricks and clicks model that amalgamates online channels with brick and mortar stores.”
By the end of this decade, India will also see the development of smart cities as the country has an ambitious plan to upgrade its urban infrastructure. India will need an estimated investment of $216 billion for basic urban infrastructure till 2020, out of which $1.2 billion will be devoted to smart city development. India’s promising growth story could however put pressure on its physical resources such as ground water, which is depleting at a rate of 25 percent. As per current forecasts, the nation could face water stress with a supply gap of 100 trillion litres by 2025.
Page 1 of 2
Suggested Items
Sanmina's Second Quarter Fiscal 2024 Financial Results
05/02/2024 | Sanmina Corp.Sanmina Corporation, a leading integrated manufacturing solutions company, today reported financial results for the fiscal second quarter ended March 30, 2024 and outlook for its fiscal third quarter ending June 29, 2024.
Amphenol Reports Q1 2024 Results, Announces New Stock Repurchase Program
04/26/2024 | BUSINESS WIREAmphenol Corporation reported first quarter 2024 results. In addition, the Company is announcing a new three-year, $2 billion stock repurchase program.
Cadence Reports First Quarter 2024 Financial Results
04/23/2024 | Cadence Design Systems, Inc.Quarter-end backlog was $6.0 billion and current remaining performance obligations ("cRPO"), contract revenue expected to be recognized as revenue in the next 12 months, was $3.1 billion.
NASA Sets Path to Return Mars Samples, Seeks Innovative Designs
04/16/2024 | NASANASA Administrator Bill Nelson shared on Monday the agency’s path forward on the Mars Sample Return program, including seeking innovative designs to return valuable samples from Mars to Earth.
Europe’s IT, Business Services Sector on the Rebound in Q1: ISG Index
04/15/2024 | BUSINESS WIREEurope’s demand for IT and business services in the first quarter rose for the first time in a year, powered by growth from the banking, financial services and insurance (BFSI) sector, according to the latest state-of-the-industry report from Information Services Group (ISG), a leading global technology research and advisory firm.