India’s embrace of Industry 4.0 is gaining momentum as businesses increasingly adopt smart manufacturing technologies to enhance productivity and efficiency. Recent reports underscore the role of Industry 4.0 in supporting India’s national manufacturing target of reaching 25% of GDP by 2026. Technology-driven advancements, such as AI, IoT, and automation, are helping the manufacturing sector meet demand while addressing sustainability and operational challenges. Notably, initiatives by the National Association of Software and Services Companies (NASSCOM) indicate that, with continued support, India’s adoption of digitalized manufacturing could position it as a global manufacturing hub, generating $1.1 trillion in manufacturing value by FY26.
A key focus of Industry 4.0 in India has been sustainability. As industries seek to modernize, there’s an increasing call to integrate green technology and minimize environmental impact. Experts argue that Industry 4.0 should not only focus on operational gains but also prioritize eco-friendly processes. According to Chaitanya Kalia of EY India, businesses adopting Industry 4.0 early are better positioned to align with sustainable development goals, mitigate climate-related risks, and retain long-term profitability. Industry leaders are urging for a dual approach, blending technological growth with climate-conscious strategies to support India’s climate targets and create green jobs.
To maintain its competitive edge, India will need investments in foundational technology and a regulatory framework that encourages digital innovation without compromising environmental goals.