When businesses flourish, the economy flourishes. It’s a symbiotic relationship that benefits all. Similarly, India’s journey toward boosting, its economy is the result, of the success stories of the top industries in India.
In the last two decades, India saw a staggering rise in the economy. Several jobs have been created by the top industries in India, like IT specialists, digital services, FMCG manufacturers, e-commerce delivery partners, etc. These rising capitalistic sectors are pushing the population towards a better lifestyle.
This blog is a comprehensive report for those willing to learn about the growth from national and individual approaches. So, let’s understand the top industries in India and learn how they are impacting growth.
India’s Economy at a Glance
Before getting into the list of top industries in India, we must have an overview of the economic stage.
The Indian economy is a dynamic mix of development, structural transformation, and contributions from a variety of industries. As one of the world’s fastest-growing major economies, India has prioritized domestic demand, investment, and smart government Digital Marketing to improve infrastructure and strengthen economic resilience.
India’s nominal GDP reached over USD 3.52 trillion in 2023-24, representing significant growth at an expected rate of 9.1% throughout this time period. This steady progress has propelled India to the fifth-largest economy in the world. Furthermore, forecasts are that it will become the third largest by 2027.
We are listing top-performing and emerging industries and sectors with high potential. These top industries in India have already created a mark in the global market. Thus, we are covering their numbers and future growth possibilities for you.
So, here is the list of 10 top industries in India!
1. Agriculture and Allied Sectors
2. Pharmaceuticals
3. IT and Digital Services
4. FMCG (Fast-Moving Consumer Goods)
5. Chemicals and Petrochemicals
6. Automobiles and Auto Components
7. Construction and Engineering
8. Financial Services
9. Sports
10. Entertainment
1. Agriculture and Allied Sectors
The agriculture and allied sectors in India are the backbone of the economy, encompassing various activities such as crop production, livestock, fisheries, and forestry. These sectors play a crucial role in ensuring food security and providing livelihoods to millions across the nation.
India stands as the world’s largest producer of milk, pulses, and spices. It also holds a significant position in the global production of rice, wheat, and cotton. The country’s diverse agricultural landscape includes 195 million hectares under cultivation, with about 63% of this area being rainfed. Additionally, the livestock sector contributes significantly to rural incomes, with India having the largest livestock population globally.
India’s agricultural and processed food products exports stood at US$ 35.18 billion in 2023-24 (April-December). Notable exports include marine products valued at US$ 7.37 billion, basmati and non-basmati rice at US$ 10.43 billion, and spices at US$ 4.25 billion.
These figures underscore the sector’s significance in boosting the country’s economy through global trade. Therefore, agriculture is one of the top industries in India.
Here are the top 5 agriculture companies in India!
- Rallis India Limited
- AgroStar
- Godrej Agrovet
- Kaveri Seed Company Ltd.
- Mahindra Agri Solutions Ltd.
2. Pharmaceuticals
The pharmaceutical industry in India is all about creating, testing, making, and delivering medicines and health-related items. Indeed, it plays a crucial role in providing affordable and accessible healthcare solutions to people across the country and around the world.
As of 2024, the Indian pharmaceutical market has reached approximately $12.46 billion in revenue. Undoubtedly, factors like the rise in per capita GDP, increased purchasing power, and technological advancements drive this growth.
The richest person in the Indian pharmaceutical segment as of 2024 is Mr. Dilip Shanghvi, the man behind the success of Sun Pharmaceutical Industries. Thus, his company stands, as the first Indian pharma company with an impressive $5 billion valuation. His journey reflects the industry’s dynamism and entrepreneurial spirit. Additionally, India recognizes itself as the 12th largest exporter of medical goods globally. Therefore, this sector is among the top industries in India to strengthen the country’s health and wellness.
The future of the pharmaceutical industry in India looks promising. With advancements in technology, regulatory upgrades, and a focus on research and development, the sector expects to grow at a CAGR of 22.4%. This growth will likely lead to further innovation, increased exports, and improved healthcare access.
Here are the top 5 pharmaceutical companies in India!
- Sun Pharmaceutical Industries Ltd.
- Dr. Reddy’s Laboratories
- Cipla Ltd.
- Lupin Ltd.
- Aurobindo Pharma Ltd.
3. IT and Digital Services
India’s IT and IT industry alone employs 5.43 million professionals. It went from 2 million in 2009 to 5 million in 2024. Hence, it ranks on the list of top industries in India.
The Indian IT industry has been on a remarkable growth trajectory. In FY22, it generated an impressive revenue of $227 billion, according to NASSCOM.
By FY23, exports from this industry reached $194 billion, with IT services leading the way, making up more than 51% of the total exports, including hardware. Additionally, Business Process Management (BPM) and software products, along with engineering services, played a significant role, contributing 19.3% and 22.1% to the total IT exports during this period.
AI, cloud computing, cybersecurity, and IoT are the rising sectors that will boost the industry in the coming years. Digitization is the key force. Cybersecurity is considered to be an important sector as business and banking transactions are rapidly rising in India. Some research institutes forecast the cybersecurity market size at $22 billion by 2032. Therefore, this sector is recognized as one of the top industries in India.
Here are the top 5 IT and digital services companies in India!
- Tata Consultancy Services (TCS)
- Infosys
- Wipro
- HCL Technologies
- Tech Mahindra
4. FMCG
The FMCG (Fast-Moving Consumer Goods) industry deals with, everyday consumer products that are rapidly consumed and have a relatively low shelf life. These products include many food items, household goods, personal care products, and beverages. FMCG companies focus on mass production, distribution, and marketing to reach a wide consumer base.
Moreover, the FMCG industry, which is the fourth largest, is expected to grow at an annual rate of 14.9%. By 2025, it’s projected to reach $220 billion, up from $167 billion in 2023. The employment in FMCG is over 3 million professionals, making it rank among the top industries in India.
And, in 2022, Nusli Wadia and his family were the wealthiest in this category, with a net worth of ₹42,200 crores. Without a doubt, India plays a significant role in fulfilling global needs. Despite challenges, the FMCG market in India remains resilient and promising. Moreover, this sector, is one of the top industries in India, to strengthen the country’s economy.
Here are the top 5 FMCG companies in India!
- Hindustan Unilever Limited (HUL)
- ITC (India Tobacco Company) Limited
- Nestle India
- Britannia Industries
- Dabur India
5. Chemicals and Petrochemicals
The Indian chemical industry is one of the largest worldwide, contributing significantly to the nation’s development. Besides, it contains over 80,000 products, making it one of the most diversified sectors in India. Chemicals serve as raw materials for various end-use industries, acting as a backbone for economic growth. Therefore, it appears among the top industries in India.
As of 2021-22, the overall market size of the Indian chemicals industry stands at $232.6 billion. And, by 2025, it is projected, to grow at a rate of 9.3%, reaching an impressive $304 billion. Also, by 2040, it’s estimated to reach an amazing $800 billion to 1 trillion. The demand for specialty chemicals and petrochemicals is driving this growth.
Moreover, India plays a crucial role in fulfilling global chemical needs. As of 2024, it meets approximately 3% of the world’s chemical requirements. In terms of fulfilling global demands, India holds a significant position. Indeed, the Indian chemicals and petrochemicals industry is an exact balance for remarkable growth.
Here are the top 5 chemical and petrochemical companies in India!
- United Phosphorous Limited (UPL)
- Reliance Industries Limited (RIL)
- Tata Chemicals
- Indian Oil Corporation (IOC)
- Hindustan Petroleum Corporation Limited (HPCL)
6. Automobile and Auto Components
The automobile and auto components industry is one of the fastest growing in the Indian economy.
As of the financial year 2023-24, the Indian automobile industry generated a turnover of approximately INR 6.14 trillion (US$ 73.1 billion), reflecting a 9.8% increase from the previous year. The auto components industry size was recorded at INR 5.6 lakh crore (approximately US$ 68.3 billion) for the fiscal year 2023, registering a remarkable 32.8% year-on-year increase.
These numbers showcase why the automobile and auto components industry ranks among the top industries in India.
As of 2024, the auto components industry accounts for 2.3% of India’s GDP. It provides direct employment to over 1.5 million people. And, by 2026, this sector projects to, contribute 5-7% to India’s GDP, with gradual employment reaching 3.2 million.
The industry is expected to grow remarkably. By 2026, it could reach a massive $200 billion. Therefore, this sector is one of the top industries in India, to strengthen the country’s economy.
Here are the top 5 automobile and auto component companies in India!
- Chasys Automotive Components Private Limited
- Idiada Automotive Technology
- Tata Motors
- Mahindra
- Maruti Suzuki
7. Construction and Engineering
A nation needs five infrastructures: roads, railways, airports, educational, and medical facilities. India is on the rise and the pace of growth is exponential. Hence, the construction and engineering industry fits in among the top industries in India.
From constructing magnificent temples to modern skyscrapers, this sector contributes significantly to the country’s economic growth. Also, it covers residential and commercial buildings, transportation networks, and technology infrastructure.
In 2024, the Indian construction industry is projected to grow by 6.2% in real terms, driven by investments in residential buildings, green energy projects, and transportation networks. However, this sector, is one of the top industries in India, to strengthen the country’s economy.
The construction industry has made India’s highest number of billionaires. These wealthy individuals have made their fortunes through real estate and infrastructure development. Above all, the richest person in this industry segment is P. Pitchai Reddy, with a net worth of approximately $2.3 billion as of 2024. Interestingly, his success closely links, to major construction projects and real estate ventures.
The industry’s future looks bright. It is projected to grow at a compound annual growth rate of 6% from 2024 to 2033, reaching an amazing $1.393 trillion by 2033. Thus, technological advancements and sustainable practices will drive this growth.
Here are the top 5 construction and engineering companies in India!
- Larsen & Toubro Ltd.
- Reliance Infrastructure Ltd.
- Microtech Developers Pvt Ltd (Lodha Group)
- Punj Lloyd Ltd
- Sadbhav Engineering Ltd
8. Financial Services
The financial services industry in India includes various commodities, including commercial banks, insurance companies, non-banking financial companies (NBFCs), co-operatives, pension funds, mutual funds, and other smaller financial institutions. These entities play a crucial role, in managing money, providing loans, offering insurance, and facilitating investment opportunities.
The Assets Under Management (AUM) managed by the mutual funds industry stood at $658.72 billion. And, equity mutual funds witnessed a net inflow of $294.15 billion by the end of, December 2021. The insurance industry has been expanding rapidly.
The total first-year premium of life insurance companies reached $32.04 billion in FY23. Also, non-life insurance sector premiums reached $22.5 billion in FY23 until December 2022. And, the fintech market estimates to be $150 billion by 2025.
The financial services sector has contributed a lot to India’s wealth creation. Besides, India holds a good position, in meeting global demands within the financial services industry. Indeed, India aims to be the fourth-largest private wealth market globally by 2028. Therefore, this sector is one of the top industries in India, to strengthen the country’s economy.
Here are the top 5 financial services companies in India!
- Bajaj Finance Limited
- Tata Capital Financial Services Ltd
- Aditya Birla Finance Ltd
- L & T Finance Limited
- Muthoot Finance Ltd
9. Sports
The sports industry in India has witnessed significant growth and transformation, evolving into a multi-billion-dollar sector. The growth is driven by increasing viewership, investment, and a burgeoning culture of sports participation.
The value of the Indian sports industry surged to Rs. 15,766 crore in 2023, nearly quadrupling its value from a decade ago. This impressive growth highlights the sector’s expanding market, with an annual growth rate of 11%, indicating robust demand and investment.
India is a significant player in the global sports goods market, with Jalandhar and Meerut serving as key manufacturing hubs. The industry is projected to grow from US$ 3.9 billion in 2020-21 to US$ 6.6 billion by 2027. India’s sports goods exports include cricket equipment, footballs, and gymnastic requisites, showcasing the country’s growing influence in the global market.
India’s sports goods exports were valued at US$ 441.45 million from April to January 2023-24. The country is a major exporter, with key markets including the UK, USA, UAE, Australia, South Africa, and Germany. The growth rate brings to the list of top industries in India.
Here are the top 5 sports companies in India!
- Cornerstone Sport and Entertainment Pvt. Ltd.
- RISE Worldwide
- ITW Consulting Pvt. Ltd.
- JSW Sports
- Sportz Interactive
10. Entertainment
The entertainment industry in India is rapidly evolving, demonstrating significant growth across various segments such as television, digital media, and film.
The Indian media and entertainment industry is currently valued at approximately $27.9 billion for 2023, reflecting an 8% growth from the previous year. This impressive growth surpasses pre-pandemic levels by over 21%, highlighting the sector’s resilience and the increasing demand for entertainment in the country.
The industry is expected to continue its expansion, reaching a projected $73.6 billion by 2027, with digital consumption being a primary driver. Hence, it makes the space among the top industries in India.
Television remains the largest segment of the entertainment industry, valued at $8.3 billion in 2023, despite a slight decline from previous years. India’s television advertising market is also on an upward trajectory, anticipated to grow at a CAGR of 6.4% to reach $6.5 billion by 2027, making it the fourth-largest TV advertising market globally.
Digital media is quickly becoming a leading segment within the industry, with its value projected to rise from $7.8 billion in 2023 to $9 billion in 2024. The OTT (over-the-top) video services market is particularly noteworthy, expected to grow significantly with a projected CAGR of 29.52%, reaching $5.12 billion by FY26.
After facing a significant downturn during the pandemic, the Indian film industry has shown strong signs of recovery, generating approximately $1.1 billion in 2022. With an anticipated growth rate of 15%, the film sector is expected to reach $2.3 billion by 2027.
Here are the top 5 entertainment companies in India!
- Zee Entertainment Enterprises
- PVR Cinema
- RSVP Movies
- Reliance Entertainment
- Eros International
End Note on Top Industries in India
As we conclude, we realize, that these top industries in India are proof of financial strength and innovation. Moreover, as these sectors continue to grow and evolve, they offer exceptional opportunities for investors, entrepreneurs, and professionals.
FAQs
1. What are the major industries in India?
Ans: Traditionally, India had six major industries, and later four new ones emerged, underscoring the evolving industrial landscape in the country. These include Iron & Steel, Textiles, Jute, Sugar, Cement, Paper, Petrochemicals, Automobiles, Information Technology (IT), and Banking & Insurance.
2. Why is the pharmaceutical industry in India considered important?
Ans: India is the world’s largest supplier of generic medications and a key player in the pharmaceutical market, fulfilling over 50% of the global vaccine demand and 40% of generic demand in the United States.
3. What is the significance of the agriculture sector in India?
Ans: Agriculture serves as the foundation of India’s economy, employing around 49.6% of the workforce and contributing approximately 15% to GDP. Furthermore, India is a leading producer of several agricultural products, such as milk, pulses, and sugarcane, enhancing its position in global markets.
4. What challenges do industries in India face?
Ans: Indian industries confront multiple challenges among these are inadequate infrastructure and logistics, complex regulatory frameworks, skill gaps in the workforce, and limited technological advancements.
