The manufacturing sector growth in the country could reach USD 1 trillion by 2025-26 and Gujarat is expected to play a significant role in achieving this milestone, according to a report by Colliers India.
According to its study, Gujarat achieved the highest investment in the manufacturing sector in the year 2023 and it is the most preferred destination for manufacturing with Maharashtra in second place and Tamil Nadu securing the third position.
Discussing Gujarat’s role in becoming India’s manufacturing hub, Swapnil Anil, Executive Director and Head of Advisory Services at Colliers India mentioned, “With the new industrial policy, Gujarat allocates approximately 34.7 per cent of incentives and benefits specifically for the manufacturing sector. As a result, Gujarat has attracted investments exceeding Rs 30 thousand crores in 2023 from domestic and foreign manufacturers.”
Gujarat’s appeal extends to industries in automobile, semiconductor, FMCG and IT showing a preference for the state, the report stated. Similarly, there is better coordination between the state’s labour force, corporate houses and the government due to which Gujarat has the lowest number of strikes in the country, the report mentioned.
Anil additionally stated, “Gujarat has the lowest unemployment rate among the workforce, standing at 4 per cent, making it an attractive destination for numerous new industries to establish their operations. The state’s appeal is further enhanced by its well-developed ports, robust connectivity, stable governance, affordable land availability, prompt decision-making, ample labour supply, business-friendly environment and supportive policies.”
