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The stock market is directly or indirectly affected by the huge sectors of India like manufacturing, pharmaceutical etc. So in this post, we will be discussing the current scenario of manufacturing industries.
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Manufacturing Industries and Its Manufacturing Industries and Its Possible Impact on the Stock Possible Impact on the Stock Market Market The stock market is directly or indirectly affected by the huge sectors of India like manufacturing, pharmaceutical etc. So in this post, we will be discussing the current scenario of manufacturing industries. Manufacturing can be defined as a conversion of raw materials or chemicals into products with the help of machines, tools and equipment on a large scale. In India, 30% of the economy is of the manufacturing sector. The total contribution of this sector in Gross Domestic Product of India is 15.24%. The sector has come out as the most powerful sector in India. It plays the prominent role in growing and developing India. As we know, the manufacturing sector is growing with high rates by itself, but the Prime Minister of India has also taken few intellectual steps to boost the sector at its best. In this loom, India’s economy will surely get
global acknowledgement. “Make in India” is one of the intellectual steps taken by the government to heighten the sector and to represent India as a manufacturing hub on the world map… In India, there are two types of manufacturing sectors. One is primary sector and other is a secondary sector of manufacturing. Primary manufacturing industry wraps those industries, which transforms the raw materials into products. Secondary manufacturing industry includes heavy, light and high-tech industries. Several other huge sectors that are wrapped under the manufacturing sector are metallurgical industry, engineering industries, chemical industries, textile industries food processing industries and hi-tech industries. The government of India has set a motivated target of achieving the involvement of manufacturing production by forthcoming financial year to 26 percent of Gross Domestic Product. At present, the contribution of manufacturing industries to GDP is 15.6 percent. India’s manufacturing industries have the knack to achieve the set target and hit USD one trillion by 2025. Talking about the job opportunities, it will provide the 90 million domestic jobs by the same year. The purchasing manager index, PMI is 51.1 as reported in February 2016. The manufacturing sector has really expanded in India due to increasing in demand for domestic and foreign because of low prices. The manufacturing sector is not a competitor of agricultural sector and service sector, instead, it supports and strengthens these sectors. In India, after the service sector, the manufacturing sector is the only largest sector to contribute to GDP. The following graph shows the sector contribution to GDP in percentage.
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