India Aims for $30–35 Trillion Economy Driven by Manufacturing and Innovation: Baba Kalyani

By R Anil Kumar

Bengaluru. Industrialist and Bharat Forge Chairman Baba Kalyani on Thursday, November 6, said India’s true economic ambition extends far beyond the $5 trillion target, with the nation aiming to build a $30–35 trillion economy and achieve a fifteen-fold expansion in manufacturing within the next two decades.

Delivering the keynote address at the seventh edition of the India Manufacturing Show (IMS 2025) in Bengaluru, Kalyani said that such a massive transformation will only be possible if India evolves from being an innovation-led economy into a product nation—one that designs, owns, and manufactures its own intellectual property.

“India aspires to grow at a double-digit economic trajectory, with eight times growth in GDP and a fifteen-fold rise in manufacturing. This transformation is immense, but achievable if India shifts from a resource-fuelled economy to one powered by science, technology, and design-led innovation,” Kalyani said.

He asserted that Make in India and Atmanirbhar Bharat would have true meaning only when Indian companies design their own products, own their intellectual property, and manufacture at scale within the country. “If you design the product yourself, own the IP yourself, and manufacture it yourself — that is Atmanirbhar Bharat,” he said.

Kalyani emphasised that large-scale industrialisation driven by research, science, and technology was the only roadmap to realise Viksit Bharat by 2047. “The road to a developed India in this digital era lies through science, technology, and innovation,” he said, referring to the Prime Minister’s recent message at the Emerging Science and Technology Conclave in New Delhi.

Citing Prime Minister Narendra Modi’s national slogan Jai Jawan, Jai Kisan, Jai Vigyan, Jai Anusandhan, Kalyani said the last two phrases — Vigyan and Anusandhan — clearly underline the central role of science, research, and innovation in India’s future economic vision.

The Bharat Forge Chairman, who also heads the Advisory Board of IMS 2025, praised the government’s sustained support to the micro, small and medium enterprises (MSME) sector through schemes such as the PM Mudra Yojana, collateral-free loans, the Credit Guarantee Scheme, and the PM Vishwakarma Yojana. He pointed out that the revision of the MSME definition in 2020 was a major step in empowering the sector but said the time has now come to update those thresholds once again. “I was telling the Hon’ble Minister that it’s time to revise the MSME definition again because they are growing and scaling up rapidly,” he said.

“The MSME sector is the backbone of India’s manufacturing and industrial growth,” Kalyani added, recalling the Prime Minister’s comments at the Viksit Bharat Show earlier this week. “Our MSMEs are expanding in size, capability, and technological sophistication. We must now recognise their evolving contribution to the economy.”

He also congratulated the IMS Foundation and the Karnataka Chapter of Laghu Udyog Bharati for hosting the seventh edition of the India Manufacturing Show and bringing together more than 15,000 member enterprises. “For 14 years, IMS has been a unique platform connecting MSMEs with opportunities, and I am honoured to serve as Chairman of its Advisory Board,” he said.

Drawing comparisons with major industrial nations, Kalyani said that the United States, Germany, Japan, South Korea, and China achieved their economic strength through technology-led manufacturing and industrial transformation. However, he noted that several advanced economies, especially in Europe, are now facing significant structural challenges. “In Germany, where we have six manufacturing plants, we are witnessing massive shortages of skilled manpower, seven-to-eight-fold increases in energy costs, heavy regulatory burdens, and high taxes,” he said.

“The famous Mittelstand, the backbone of German industry, is under great stress. The cost of doing business in Europe has gone up dramatically,” he observed. “This situation presents a major opportunity for India to emerge as the world’s preferred manufacturing hub.”

He added that global supply chains are looking for alternative destinations, and India today is seen as one of the top choices for manufacturing investment. “Never before has India been as attractive for manufacturing as it is now,” Kalyani said.

Citing China’s Little Giants initiative as a model of how structured state and industry collaboration can create global champions, Kalyani said China’s MSME sector—roughly 14,600 firms—was scouted, supported, and scaled through a well-structured pyramid model. “These firms, once small innovators, became national champions that now dominate global manufacturing,” he explained.

He gave examples of global firms such as Huawei, DJI, and BYD, which started as small enterprises and grew into global leaders in telecommunications, drones, and electric vehicles respectively. “These weren’t born giants. They were built brick by brick, like many of our Indian MSMEs,” Kalyani said. “India must learn from this example—building scale, creating IP, and becoming a design-led, product-driven industrial powerhouse.”

Kalyani strongly advocated a change in how India perceives small industry success. “We need to stop romanticising the struggle of MSMEs as a badge of honour and start engineering scale with intent,” he said. “Our goal should be to design and make Indian products with Indian IP. That is the true meaning of Atmanirbhar Bharat.”

He stressed that India must combine “know-how” with “know-why,” investing in scientific research to create indigenous design and product knowledge. “Whatever we manufacture, we must also design. The same Indians who design products for companies abroad can design and produce them here,” he said. “This is not just about technology—it’s about national confidence,” he added. “We must believe we can lead the world in manufacturing with Indian design, Indian IP, and Indian innovation.”

Concluding his address, Baba Kalyani said India is witnessing a once-in-a-century industrial transformation. “The transformation is happening at high speed and high velocity. The time has come to make this century India’s century,” he said.

He thanked the IMS Foundation and all participants for creating a platform that celebrates India’s industrial achievements and future aspirations. “This gathering represents the spirit of new India—innovative, ambitious, and self-reliant,” he said.

The seventh edition of the India Manufacturing Show, themed India’s Manufacturing Transformation: From Innovation to a Product Nation, brings together stakeholders from defence, automotive, heavy engineering, industrial technology, and startup sectors. The three-day exhibition will continue in Bengaluru till Saturday.