Just 3.6% of India's registered factories accounted for 62% of output in FY25

Just 3.6 percent of India's operating factories accounted for 62.1 percent of the registered factory sector's gross output in FY25, according to Annual Survey of Industries released on November 4. Factories in this group, each with annual output of Rs 500 crore or more, held 62.9 percent of the sector's fixed capital and generated 61 percent of its net value added. They accounted for 30.7 percent of all persons engaged and 44.5 percent of total emoluments. At the other end, factories with annual output of up to Rs 1 crore made up 18.3 percent of operating units but accounted for just 0.08 percent of gross output and 2.2 percent of all persons engaged.

Units with plant and machinery valued at up to Rs 5 crore made up nearly 79 percent of operating factories and accounted for 34.3 percent of persons engaged, with just 10.6 percent of fixed capital. Meanwhile, factories with plant and machinery valued at Rs 10 crore or more made up 15.8 percent of operating units. They held 87.4 percent of fixed capital and accounted for 59.7 percent of persons engaged and 76.8 percent of gross output. Corporate manufacturing GVA rises 9.3% The corporate manufacturing sector, which accounted for more than 89 percent of the gross value added (GVA) captured by the survey, posted GVA growth of 9.3 percent in FY25.

The number of operating factories in the corporate segment rose 3.5 percent, while the number of persons engaged increased 7.6 percent. Across the surveyed factory sector, GVA per person engaged rose 2.25 percent and net value added per operating factory increased 6.59 percent from the previous year. Food products, textiles, basic metals, motor vehicles and wearing apparel together accounted for more than 41 percent of employment covered by the survey. Maharashtra, Gujarat, Tamil Nadu, Karnataka and Uttar Pradesh together contributed more than 54 percent of GVA.