Union Budget 2025 to drive innovation, job creation, and sustainability in manufacturing, say industry players

In her budget speech on Saturday, Finance Minister Nirmala Sitharaman announced the National Manufacturing Mission, which aims to support small, medium, and large industries under the "Make in India" initiative.

The Finance Minister also announced a scheme to make India a global hub for toys by fostering high-quality, innovative, and sustainable toy manufacturing.

Deepak NG, Managing Director of Dassault Systemes India, emphasized the importance of a strong manufacturing foundation for India's economic future. He said, "The National Manufacturing Mission is a significant move toward self-reliance, accelerating clean-tech and smart manufacturing while ensuring India's deeper integration into global supply chains."

He further noted that the government's push for investments in electric vehicle (EV) batteries, solar PV cells, and high-voltage transmission systems was particularly noted for driving sustainability and creating new avenues for innovation and economic growth.

Sanjay Choudhari, Chairman of SBL Energy, echoed this sentiment, praising the transformative potential of the National Manufacturing Mission under the "Make in India" initiative.

He added, "This initiative will strengthen small, medium, and large industries, creating a robust supply chain for mining and infrastructure and enhancing domestic production of critical materials." He noted that the move would reduce India's dependency on imports and bolster energy security as well.

Arpan Ghosh, Founder and Director of Gamma Rotors, pointed to this increase as a critical enabler of growth in high-tech industries such as drones and electronics. "This investment will not only boost the drone industry but will also help scale innovations in areas such as surveillance and energy-efficient drone systems," he said.

He also highlighted that the drone sector alone is expected to generate over 1 million jobs by 2025, marking India as a leader in advanced manufacturing technology.

Ghosh further noted that enhanced collaboration opportunities through National Centres of Excellence for skilling would empower India's workforce, accelerating the country's transition to a more innovation-driven industrial ecosystem.

Saurabh Agarwal, Vice President and General Manager of Avery Dennison South Asia, welcomed the budget's focus on sustainability, infrastructure development, and MSME support. "The reduction in tax slabs is expected to drive consumer spending, which will positively impact sectors like packaging and labelling," he said, adding that additionally, the government's focus on improving manufacturing infrastructure will help MSMEs scale up operations and innovate more efficiently.

The focus on MSMEs was reinforced by Bharat Gite, MD and CEO of Taural India, who highlighted how the enhanced credit guarantee scheme and machinery financing would drive industrial growth in Tier II and III regions. "The Union Budget 2025 sets a decisive course for India's manufacturing sector by strengthening MSMEs, fostering domestic production, and enhancing global trade competitiveness," he said.

The Union Budget 2025 also placed a significant emphasis on upskilling India's youth to meet the demands of Industry 4.0. The government aims to bridge the gap between education and real-world applications, ensuring that the workforce is equipped with future-ready skills with the expansion of Atal Tinkering Labs and a Rs 500 crore allocation for AI in education.

Deepak NG noted that "the focus on STEM and AI education will prepare India's youth to lead in industries of the future."

The government's push for sustainable manufacturing was a central theme in the reactions from industry leaders.

From driving clean-tech manufacturing to innovations in sustainable packaging, stakeholders across sectors expressed optimism about India's path toward a circular economy. (ANI)