Key Insights

The India Industrial Automation Market is experiencing robust growth, projected to reach \$15.12 billion in 2025 and expand significantly over the forecast period (2025-2033). A Compound Annual Growth Rate (CAGR) of 14.26% signifies substantial market dynamism, driven by several key factors. Increased automation across manufacturing sectors like FMCG, healthcare, and general merchandise is a primary driver, alongside the government's "Make in India" initiative, which promotes domestic manufacturing and technological adoption. Furthermore, the rising need for enhanced efficiency, improved product quality, and reduced operational costs is fueling the demand for advanced automation solutions, including robotics, industrial control systems (DCS, SCADA, PLC, HMI), and sophisticated software like MES and PLM. The market is segmented by field devices (sensors, drives, robots, CNC machines), software solutions (MES, PLM, WMS), and end-user industries. While challenges remain, such as the high initial investment costs associated with automation technologies and the need for skilled labor, these are outweighed by the long-term benefits of increased productivity and competitiveness. The strong growth trajectory is expected to continue, with significant opportunities for both domestic and international players across various segments and geographical regions within India. The North, South, East, and West regions each contribute uniquely to the market's overall expansion, driven by varying degrees of industrial activity and technological adoption within these areas.

The market's robust expansion is further fueled by several trends. The increasing adoption of Industry 4.0 technologies, including the Internet of Things (IoT), cloud computing, and artificial intelligence (AI), is enabling smarter and more efficient automation solutions. This trend is also coupled with rising investments in R&D, leading to advancements in areas such as collaborative robotics and predictive maintenance, driving efficiency and reducing downtime. The market is also witnessing a strong shift towards customized automation solutions tailored to specific industry needs, as businesses seek improved operational flexibility and scalability. This increased focus on customization is creating new opportunities for companies that can offer tailored solutions and comprehensive support services. Competitive pricing strategies, coupled with supportive government policies, are also contributing to the market’s acceleration. However, the market's growth is not without its restraints. Concerns regarding data security and cyber threats associated with connected devices need to be addressed through robust security measures. Similarly, the lack of skilled workforce to operate and maintain these advanced systems presents a key challenge that needs to be mitigated through targeted training and education initiatives.

India Industrial Automation Market: A Comprehensive Report (2019-2033)

This in-depth report provides a comprehensive analysis of the India Industrial Automation Market, encompassing market dynamics, growth trends, dominant segments, key players, and future outlook. The report covers the period 2019-2033, with a base year of 2025 and a forecast period of 2025-2033. The market is segmented by field devices, software, end-user, and type of solution, offering granular insights into this rapidly evolving sector. Valuations are presented in million units.

India Industrial Automation Market Dynamics & Structure

The Indian industrial automation market is characterized by increasing market concentration amongst major players, significant technological innovation, evolving regulatory frameworks, and the emergence of competitive product substitutes. The market is witnessing a surge in mergers and acquisitions (M&A) activity as companies strategize for growth.

• Market Concentration: The top 5 players hold approximately xx% of the market share in 2025, indicating a moderately concentrated market. This is expected to increase to xx% by 2033.
• Technological Innovation: The adoption of Industry 4.0 technologies, including AI, IoT, and cloud computing, is a primary driver of market growth. However, integration complexities and skills gaps pose significant innovation barriers.
• Regulatory Framework: Government initiatives like "Make in India" and "Digital India" are fostering automation adoption. However, inconsistent regulatory standards across states can create challenges.
• Competitive Product Substitutes: The emergence of cost-effective and energy-efficient alternatives continues to impact the competitiveness of certain automation technologies.
• End-User Demographics: The manufacturing sector dominates the market, with significant growth potential in non-manufacturing sectors such as healthcare and FMCG.
• M&A Trends: The number of M&A deals in the Indian industrial automation sector increased by xx% between 2019 and 2024, reflecting the strategic importance of consolidation and expansion.

India Industrial Automation Market Growth Trends & Insights

The India Industrial Automation Market exhibits robust growth, driven by factors including rising labor costs, increasing demand for improved productivity and efficiency, and government initiatives promoting automation. The market size, currently valued at xx million units in 2025, is projected to reach xx million units by 2033, registering a Compound Annual Growth Rate (CAGR) of xx% during the forecast period. This growth is fueled by technological disruptions, including the increasing adoption of advanced robotics, AI-powered solutions, and cloud-based platforms. Consumer behavior shifts towards customized products and faster delivery times further incentivize automation investments. Market penetration is currently at xx% in the manufacturing sector and is expected to reach xx% by 2033.

Dominant Regions, Countries, or Segments in India Industrial Automation Market

The industrial automation market in India is experiencing significant growth across various segments and regions. While the manufacturing sector holds the largest market share, the non-manufacturing sectors are witnessing considerable expansion. Within field devices, industrial robots and sensors and transmitters are driving growth, while the software segment is experiencing rapid adoption of MES and PLM solutions.

• Dominant Segment: The Factory Automation Market segment is the dominant sector, accounting for xx% of the market in 2025, followed by Automated Material Handling Solutions with xx%.

• Key Regional Growth: Maharashtra and Gujarat are leading regions, driven by robust manufacturing activity and supportive government policies. Southern India is also emerging as a significant market due to growth in the automotive and electronics industries.

• Growth Drivers:

  • Government initiatives focused on infrastructure development and industrial modernization.
  • Increasing foreign direct investment in the manufacturing sector.
  • Growing demand for automation in labor-intensive industries.
  • The rising need for enhanced productivity and operational efficiency.

  The detailed breakdown of growth across each segment and region is included in the full report.

India Industrial Automation Market Product Landscape

The Indian industrial automation market is witnessing rapid product innovation, with manufacturers constantly striving to improve performance, reduce costs, and enhance efficiency. New product developments focus on increasing levels of connectivity, integration, and intelligence, utilizing AI and Machine Learning. Key innovations include advanced robotics with improved dexterity and adaptability, intelligent sensors with predictive maintenance capabilities, and cloud-based platforms enabling remote monitoring and control. The unique selling propositions emphasize cost-effectiveness, ease of integration, and advanced functionalities, catering to various industrial needs and specific applications.

Key Drivers, Barriers & Challenges in India Industrial Automation Market

Key Drivers:

• Government initiatives promoting industrial automation (e.g., Make in India).
• Rising labor costs and the need to improve productivity.
• Growing demand for higher quality and efficiency in manufacturing.
• Technological advancements in robotics, AI, and IoT.

Key Barriers & Challenges:

• High initial investment costs associated with automation solutions.
• Lack of skilled workforce capable of operating and maintaining advanced automation systems.
• Supply chain disruptions and the availability of key components.
• Cybersecurity concerns related to the increasing connectivity of industrial systems. The estimated cost of these challenges is xx million units annually.

Emerging Opportunities in India Industrial Automation Market

• Untapped potential in the non-manufacturing sector (e.g., healthcare, logistics).
• Growing demand for customized automation solutions tailored to specific industry needs.
• Opportunities in the development and implementation of AI-powered solutions for predictive maintenance and optimization.
• Expansion of automation solutions in small and medium-sized enterprises (SMEs).

Growth Accelerators in the India Industrial Automation Market Industry

Several factors are poised to accelerate the growth of the Indian industrial automation market in the coming years. These include the continued expansion of the manufacturing sector, the increasing adoption of Industry 4.0 technologies, and strategic partnerships between domestic and international players. Furthermore, government initiatives aimed at promoting digitalization and technological advancement will significantly impact market expansion. Strategic investments in R&D and innovative product development are also expected to drive long-term growth.

Key Players Shaping the India Industrial Automation Market Market

• Addverb Technologies Private Limited
• Bharat Heavy Electricals Limited (BHEL)
• Schaefer Systems International Pvt Ltd (SSI Schaefer AG)
• Honeywell International Inc (https://www.honeywell.com/)
• ABB Ltd (https://new.abb.com/)
• Kardex India Storage Solutions Private Limited (Kardex Holding AG)
• Godrej Koerber Supply Chain Limited
• Larsen & Toubro Ltd (https://www.larsentoubro.com/)
• Crompton Greaves Ltd
• Space Magnum Equipment Pvt Ltd
• Fuji Electric Co Ltd (https://www.fujielectric.com/en/)
• Hinditron Group
• Armstrong Ltd
• Emerson Electric Co (https://www.emerson.com/)
• Mitsubishi Electric Corporation (https://www.mitsubishielectric.com/)
• Siemens AG (https://www.siemens.com/)
• Bastian Solution Private Limited (Toyota Industries)
• ATS Conveyors India Pvt Ltd (ATS Group)
• Schneider Electric (https://www.se.com/ww/en/)
• Falcon Autotech Private Limited
• Robert Bosch GmbH (https://www.bosch.com/)
• Bain & Company Inc (https://www.bain.com/)
• The Hi-Tech Robotic Systemz Limited
• Rockwell Automation Inc (https://www.rockwellautomation.com/)
• Yokogawa Electric Corporation (https://www.yokogawa.com/)
• Danfoss A/S (https://www.danfoss.com/)
• Daifuku India Private Limited (Daifuku Co Ltd)
• Grey Orange Pte Ltd
• Boston Consulting Group (https://www.bcg.com/)
• Kuka India Private Limited (Kuka AG)

Notable Milestones in India Industrial Automation Market Sector

• June 2023: ABB India secured a contract to supply ArcelorMittal Nippon Steel India's cold rolling mill with automation systems, highlighting the growing demand for advanced solutions in the steel industry.
• March 2023: Bastian Solutions showcased integrated automation technologies at ProMat, demonstrating advancements in autonomous vehicles and warehouse automation.

In-Depth India Industrial Automation Market Market Outlook

The Indian industrial automation market is poised for sustained growth, driven by technological advancements, favorable government policies, and a burgeoning manufacturing sector. Strategic investments in R&D, coupled with increasing collaborations between domestic and international players, are creating significant opportunities for market expansion. The focus on Industry 4.0 technologies, including AI, IoT, and cloud computing, will further enhance productivity and efficiency, driving long-term growth and market expansion across diverse industries.

India Industrial Automation Market Segmentation

• 1. Type of Solution
  • 1.1. Automated Material Handling Solutions
    • 1.1.1. Hardware
      • 1.1.1.1. Conveyor/Sortation Systems
      • 1.1.1.2. Automated Storage and Retrieval System (AS/RS)
      • 1.1.1.3. Mobile R
      • 1.1.1.4. Automatic Identification and Data Capture (AIDC)
    • 1.1.2. Software
  • 1.2. Factory Automation Solutions
    • 1.2.1. Industrial Control Systems
      • 1.2.1.1. DCS
      • 1.2.1.2. SCADA
      • 1.2.1.3. PLC
      • 1.2.1.4. HMI
      • 1.2.1.5. Other Control Systems
    • 1.2.2. Field Devices
      • 1.2.2.1. Sensors and Transmitters
      • 1.2.2.2. Electric AC Drives
      • 1.2.2.3. Servo Motors
      • 1.2.2.4. Computer Numerical Control (CNC) Machines
      • 1.2.2.5. Inverters
      • 1.2.2.6. Industrial Robots
      • 1.2.2.7. Other Factory Automation Solutions
    • 1.2.3. Manufacturing Execution System (MES)
    • 1.2.4. Product Lifecycle Management (PLM)
    • 1.2.5. Other Types
• 2. End-user
  • 2.1. Automated Material Handling Market
    • 2.1.1. Manufacturing
    • 2.1.2. Non-manufacturing
      • 2.1.2.1. General Merchandise
      • 2.1.2.2. Healthcare
      • 2.1.2.3. FMCG/Non-durable Goods
      • 2.1.2.4. Other End-Users
  • 2.2. Factory Automation Market
    • 2.2.1. Food and Beverage
    • 2.2.2. Pharmaceutical
    • 2.2.3. Automotive
    • 2.2.4. Textiles
    • 2.2.5. Power
    • 2.2.6. Oil and Gas
    • 2.2.7. Petrochemicals and Fertilizers

India Industrial Automation Market Segmentation By Geography

• 1. India