Table of Contents
- 1. India Doubles Down on ‘Make in India’ for Sports Equipment, Eyes Global Market Share
- 2. A Burgeoning Market
- 3. ‘Garv se swadeshi’ – Pride in Made-in-India
- 4. The Rise of the Sports Industry in India
- 5. How might the Production Linked Incentive (PLI) scheme specifically impact the competitiveness of Indian manufacturers against Chinese imports?
- 6. India’s Strategic Plan to Bolster Domestic sports Goods Manufacturing
- 7. The Current Landscape of Sports Goods in India
- 8. Government Initiatives & policy Framework
- 9. Key Focus Areas for Growth
- 10. Benefits of a Strong Domestic Manufacturing Base
- 11. Case Study: The Jalandhar Sports Industry
- 12. Challenges and Roadblocks
- 13. Future Outlook & Emerging Trends
New Delhi – India is making a significant push to become a global manufacturing hub for sports goods, reaffirming its commitment to the ‘Atmanirbhar Bharat’ (self-Reliant India) initiative. Union Minister of youth Affairs & sports, Mansukh Mandaviya, spearheaded the first-ever Sports Goods Manufacturing Conclave in New Delhi on Saturday, signaling a renewed focus on domestic production and export potential.
The Conclave convened key stakeholders, including representatives from NITI Aayog, the Commerce Ministry, the DPIIT, FICCI, CII, Micro, Small and Medium Enterprises (MSMEs), and leading figures within the sports industry. The objective was to formulate a robust roadmap for bolstering India’s capacity in the manufacture of sports equipment.
A Burgeoning Market
The Indian sports goods sector is currently valued at $4.88 billion (approximately Rs 42,877 crore) as of 2024. Projections indicate substantial growth, with estimates reaching $6.6 billion (Rs 57,800 crore) by 2027 and soaring to Rs 87,300 crore by 2034. This dynamic industry directly employs over five lakh people, largely concentrated in MSME clusters situated in Meerut, Jalandhar, Ludhiana, and the Delhi-NCR region.
Currently, India holds the third-largest position in sports goods manufacturing in Asia, and ranks 21st globally in exports, having shipped goods worth $523 million in the fiscal year 2023-24 to over 90 countries. Key export destinations include the USA, the UK, Australia, Germany, and France, while emerging markets in South Africa, the UAE, Canada and Sweden present promising new avenues for expansion.
| Year | Sector Value (USD Billion) |
|---|---|
| 2024 | $4.88 |
| 2027 (Projected) | $6.6 |
| 2034 (Projected) | $8.73 |
A significant development this week has been the formal inclusion of “Sports Goods Manufacturing” within the Allocation of Business Rules of 1961, under the purview of the Ministry of Youth Affairs & Sports. This move underscores the government’s prioritization of the sector.
‘Garv se swadeshi’ – Pride in Made-in-India
Minister Mandaviya emphasized the need for self-reliance and the promotion of domestic goods. “Everyone has to ensure that we implement everything keeping ‘Nation first’ in mind,” he stated. “Aatmanirbharta and the use of Swadeshi goods is the need of the hour. We must move forward with the spirit of Garv se swadeshi.” He articulated an aspiring goal to increase India’s global market share from its current 1% to 25% by 2036.
Recognizing India’s demographic advantages, Mandaviya noted that the country, with its population of 1.4 billion, represents a substantial domestic market. He affirmed that policy frameworks will be developed based on insights gathered from the Conclave.
To drive this initiative forward, a task force will be established, comprising representatives from the Ministry, National Sports Federations (NSFs), and industry leaders. This task force will be responsible for crafting a future-oriented policy framework for sports goods manufacturing.
The Minister clarified that this undertaking extends beyond simply manufacturing equipment. It is about building a holistic ecosystem that integrates industry,innovation,and employment opportunities,reinforcing India’s trajectory towards becoming a global sporting and economic leader.
Did You Know? The sports goods industry in Meerut, often called the ‘Sports City of India’, contributes considerably to India’s total sports goods production.
The Rise of the Sports Industry in India
The growing interest in sports, coupled with government initiatives like ‘Khelo India’, is fueling demand for high-quality sports equipment. This demand is not just limited to professional athletes; increasing participation in recreational sports is also contributing to market growth. Moreover, the trend of fitness and wellness is expected to further propel the industry forward. Statista reports continued positive trends in the Indian sports market.
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How might the Production Linked Incentive (PLI) scheme specifically impact the competitiveness of Indian manufacturers against Chinese imports?
India’s Strategic Plan to Bolster Domestic sports Goods Manufacturing
The Current Landscape of Sports Goods in India
India, a nation with a burgeoning sports culture and a population exceeding 1.4 billion, presents a notable market for sports goods. Currently, a substantial portion of these goods are imported, primarily from China. This reliance creates vulnerabilities in the supply chain and limits the economic benefits realized within India. The Indian sports goods industry, traditionally dominated by the SME sector, is undergoing a transformation fueled by government initiatives and increasing domestic demand. Key product categories include cricket equipment, badminton rackets, football, volleyball, hockey sticks, and gym equipment.
Government Initiatives & policy Framework
The Indian government recognizes the strategic importance of a robust domestic sports goods manufacturing sector. Several key policies are driving this change:
Production Linked Incentive (PLI) Scheme: Extended to include select categories of sports goods, offering financial incentives to manufacturers based on incremental sales. This aims to boost production value and attract investment.
‘Make in India’ Campaign: A broader national initiative,’Make in India’ actively promotes domestic manufacturing across various sectors,including sports goods. It focuses on easing business regulations, fostering innovation, and developing skilled labor.
National Sports Policy: Periodic revisions to the National Sports Policy emphasize the development of indigenous sports infrastructure and equipment.
MSME Support Programs: Dedicated schemes to support Micro,Small,and Medium Enterprises (MSMEs) – the backbone of the Indian sports goods industry – through financial assistance,technology upgrades,and marketing support.
Duty Structure Adjustments: The government has been reviewing and adjusting import duties on raw materials and finished sports goods to create a more level playing field for domestic manufacturers.
Key Focus Areas for Growth
The strategic plan isn’t just about broad policy; it’s targeting specific areas for impactful growth:
Raw Material Sourcing: Reducing dependence on imported raw materials like rubber, leather, and plastics is crucial. Initiatives are underway to promote domestic production of these materials.
Technology Upgradation: Encouraging the adoption of advanced manufacturing technologies – including automation, 3D printing, and precision engineering – to improve product quality and efficiency.
Skill Development: Investing in training programs to develop a skilled workforce capable of meeting the demands of a modern sports goods manufacturing industry. This includes training in design, manufacturing, quality control, and marketing.
Branding & Marketing: Promoting “Made in India” sports goods through targeted marketing campaigns and branding initiatives, both domestically and internationally.
Cluster Development: Establishing dedicated sports goods manufacturing clusters to facilitate collaboration, resource sharing, and infrastructure development. jalandhar (Punjab) and Meerut (Uttar Pradesh) are already established hubs, with plans for expansion and new clusters.
Benefits of a Strong Domestic Manufacturing Base
A thriving domestic sports goods industry offers numerous benefits:
Economic Growth: Creates employment opportunities,boosts manufacturing output,and contributes to India’s GDP.
Reduced Import Dependence: Enhances national self-reliance and reduces vulnerability to global supply chain disruptions.
Improved Product quality: Domestic manufacturers can focus on quality control and customization to meet the specific needs of Indian athletes and consumers.
Cost Competitiveness: Local production can lead to lower prices for consumers,making sports more accessible.
Innovation & R&D: A strong domestic base fosters innovation and research & development in sports technology.
Case Study: The Jalandhar Sports Industry
Jalandhar, Punjab, is a prime example of a triumphant sports goods manufacturing hub in India. Historically known for its cricket bat manufacturing, the city now produces a wide range of sports equipment. The industry has benefited from a skilled workforce, access to raw materials (particularly willow for cricket bats), and a supportive ecosystem of suppliers and exporters. However, challenges remain, including competition from cheaper imports and the need for further technology upgrades. Government support through the PLI scheme and MSME programs is expected to further strengthen the Jalandhar cluster.
Challenges and Roadblocks
Despite the positive momentum, several challenges need to be addressed:
Competition from China: Chinese manufacturers continue to dominate the global sports goods market due to their economies of scale and lower production costs.
Infrastructure Deficiencies: Inadequate infrastructure – including transportation, logistics, and power supply – can hinder manufacturing efficiency.
access to Finance: MSMEs frequently enough face difficulties in accessing affordable finance for technology upgrades and expansion.
Quality Control Standards: Maintaining consistent quality standards is crucial for competing in the global market.
Intellectual Property Protection: Strengthening intellectual property protection is essential to encourage innovation and prevent counterfeiting.
Future Outlook & Emerging Trends
The future of sports goods manufacturing in india looks promising. Several emerging trends are expected to shape the industry:
Rise of Sports Science: Increasing demand for technologically advanced sports equipment based on sports science principles.
Customization & Personalization: Growing preference for customized and personalized sports goods tailored to individual athlete needs.
Lasting Manufacturing: Adoption of eco-friendly materials and sustainable manufacturing practices.
E-commerce & Online Retail: Increasing sales through online channels, providing manufacturers with direct access to consumers.
* Growth of Niche Sports: