India Set to Become Global Manufacturing Hub, Says Mahindra Group CEO

K N Mishra

    01/Jul/2025

What's covered under the Article:

  1. Mahindra Group CEO Anish Shah says India’s young workforce and policy push can make it a global manufacturing leader.

  2. Mahindra posted a 14% revenue and 20% PAT growth in FY25, driven by strong performance across auto, farm, EV, and finance segments.

  3. Mahindra’s focus on renewables, electrification, and tech-driven expansion aligns with India’s growth potential and green development.

India is rapidly positioning itself as a global manufacturing powerhouse, according to Mr. Anish Shah, the Chief Executive Officer and Managing Director of the Mahindra & Mahindra Group. In the company’s Annual Report for FY25, Shah highlighted the convergence of India’s young and dynamic workforce, expanding infrastructure, and favourable government policies as the cornerstones of this transformation.

Despite facing ongoing geopolitical challenges, Shah expressed confidence in India’s ability to become a global leader in manufacturing, with the Mahindra Group actively contributing through its diverse business units and commitment to sustainability, electrification, and green energy.

India’s Global Manufacturing Opportunity

In his address to stakeholders, Anish Shah stated that India is uniquely positioned to take advantage of shifting global supply chains, thanks to its:

  • Demographic dividend – a young, skilled workforce ready to scale

  • Massive infrastructure investments under schemes like PM Gati Shakti and PLI (Production Linked Incentive)

  • Reform-driven policies that improve the ease of doing business, attract FDI, and boost innovation

This blend of factors, Shah believes, gives India a strong platform to compete globally, particularly as companies diversify operations away from traditional manufacturing centres.

Mahindra’s FY25 Performance: A Testament to Growth

Mahindra & Mahindra delivered an exceptional performance in FY25, with the Group reporting:

  • Revenue growth of 14%, reaching ₹1,59,211 crore (US$ 18.55 billion)

  • Profit After Tax (PAT) up by 20%, totalling ₹12,929 crore (US$ 1.51 billion)

This performance reflects broad-based growth across Mahindra’s core and emerging businesses, validating its long-term strategy of sustainable expansion aligned with India’s development journey.

Electrification and Sustainability: At the Core of Strategy

Mahindra’s push for a greener future is evident in the success of its “growth gems”, a set of businesses that are scaling quickly and contributing to:

  • Green building solutions through Mahindra Lifespaces

  • Renewable energy capacity via Mahindra Susten

  • Infrastructure investment in clean energy through its Renewable Infrastructure Investment Trust (InvIT)

Together, these businesses are reducing India’s carbon footprint, promoting eco-friendly housing, and driving clean energy production at scale.

A major milestone was also achieved in the electric mobility segment, with the launch of Electric Origin SUVs, which marks Mahindra’s serious foray into the EV space. This move supports India’s national goals for electric vehicle adoption, further positioning Mahindra as a leader in green transportation.

Diversified Expansion Across Business Units

In addition to its sustainability focus, the Mahindra Group’s various units are expanding aggressively:

  • Mahindra Logistics is scaling its supply chain and distribution capabilities

  • Club Mahindra is witnessing growth in the experiential travel and hospitality space

  • Mahindra Trucks and Buses is strengthening its presence in commercial mobility

  • Mahindra Aerostructures is deepening its role in aerospace manufacturing

Mahindra also emphasized the potential of emerging brands like Accelo (recycled steel and materials), Classic Legends (heritage motorcycle revival), and Car & Bike (auto e-commerce platform), which are aimed at new-age consumers and tech-savvy markets.

Tech Mahindra and Financial Growth

Tech Mahindra, the Group’s IT arm, recorded strong performance in client engagement, margin improvement, and digital transformation solutions. These gains are pivotal as Mahindra aims to blend manufacturing with technology, a critical factor for competing in Industry 4.0 environments.

Meanwhile, Mahindra Finance, the group’s financial services arm, posted a 33% rise in profit, indicating strong rural credit demand and improved loan recovery. This aligns with India’s rising credit penetration, particularly in semi-urban and rural areas.

Alignment with India’s Economic Vision

Marking 80 years of its operations, Mahindra reiterated its commitment to being a nation-first enterprise. The conglomerate plays a role in 70% of India’s GDP footprint, with businesses that touch agriculture, auto, finance, logistics, real estate, renewable energy, and technology.

Shah noted that Mahindra’s growth strategy is deeply aligned with India’s aspirations, particularly in areas like:

  • Green infrastructure and clean energy

  • Affordable and sustainable mobility solutions

  • Employment generation through domestic manufacturing

  • Empowering rural and urban India equally

This alignment, combined with Mahindra’s execution strength, makes it a significant contributor to India’s manufacturing and economic rise.

India’s Global Brand Potential

As Mahindra eyes global brand recognition, Shah believes the Group must leverage its Indian roots, combine innovation with purpose, and deliver high-quality, scalable products in global markets.

By exporting vehicles, technology services, and green solutions, Mahindra aims to:

  • Build India’s brand equity in international markets

  • Become an ambassador of ‘Make in India’ on a global scale

  • Expand into Africa, Southeast Asia, Europe, and Latin America

Resilience Amid Global Uncertainty

Shah acknowledged the presence of geopolitical headwinds, inflationary pressures, and supply chain risks. Yet, he maintained that India’s inherent strengths—demographics, demand, and democracy—provide a strong foundation to weather global disruptions and emerge stronger.

Mahindra’s diversified portfolio acts as a hedge against volatility, while its focus on technology, sustainability, and innovation allows it to pivot in response to market shifts.

Conclusion

Mahindra & Mahindra’s FY25 Annual Report clearly articulates a confident outlook not just for the company but for India’s future as a global manufacturing leader. With ₹1.59 lakh crore in revenue, ₹12,929 crore in profit, and a pipeline full of EVs, green buildings, renewable energy, and digital transformation, the company is leveraging every aspect of India's growth story.

CEO Anish Shah’s vision of India as a manufacturing powerhouse is backed by action—visible in Mahindra’s diverse expansion, financial performance, and commitment to sustainability. By aligning closely with the government’s industrial and green transition goals, Mahindra is poised to play a pivotal role in shaping India’s global identity in the years ahead.

As India rises, so does Mahindra—innovating, expanding, and leading from the front. The future of manufacturing is no longer just global—it’s Indian.

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