Modi Government's Atmanirbhar Push: Global Cutting Tool Market To Hit $30 Billion, India's Power Tool Market Eyes $15 Billion

New Delhi: Under Prime Minister Narendra Modi's ‘Make in India’ and ‘Atmanirbhar Bharat’ vision, India's tools and equipment sector is emerging as a decisive force in powering the next wave of manufacturing expansion. 

The industry leaders and policymakers gathered in the national capital on Wednesday to assert that the Narendra Modi government's thrust on self-reliance will only succeed if micro, small and medium enterprises quickly adopt Industry 4.0, prioritise occupational safety and build localised, skilled supply chains.

The confidence is backed by strong market signals that align with the Modi government's manufacturing-led growth agenda. The global cutting tool market is projected to reach US$30 billion by 2030, while India's power tool market is eyeing a $15 billion leap driven by strong domestic consumption under the production-linked incentive ecosystem.

Further strengthening the narrative of Viksit Bharat, India's hand and power tools exports are eyeing an ambitious $25 billion target by 2035. To make this possible, a Rs 100 crore collateral-free credit push along with tech upgrades is being positioned to drive competitiveness among MSMEs, a segment that Prime Minister Modi has repeatedly called the backbone of India's economy.

The core insights were discussed on the sidelines of the Tools & Equipment Expo 2026, which opened on September 17 at Bharat Mandapam. The 3-day expo has brought together over 300 exhibitors, over 2000 products on display, 150 plus new product launches and over 8000 industry professionals.

The exposition has seen strong international participation from Germany, China, Taiwan and Hong Kong, outlining growing global engagement with India's tools and equipment market under the Modi government's investor-friendly policies. The cutting-edge solutions across hand tools, power tools, smart automation, and cutting and welding technologies are on display.

Policymakers Echo Government's Industry 4.0 Roadmap

Speaking at the event, Yadu Kumar Yadav (Deputy Director, NPC-DPIIT, Ministry of Commerce and Industry) said India's next phase of manufacturing growth will depend on enabling MSMEs to move from lean manufacturing towards Industry 4.0 and IoT-enabled systems. 

He said that over the past decade, efforts have focused on integrating MSMEs' products, processes and systems through lean manufacturing and the focus is now shifting towards the next level of digital integration. He informed that under the Ministry of MSME's RAMP scheme, more than 750 units are currently being integrated into an Industry 4.0 ecosystem in Gujarat, with similar ecosystems envisaged across the country.

He added that the recently launched BRICS Center for Industrial Competencies is also creating an ecosystem for manufacturers and industry associations to connect, facilitate B2B matchmaking and promote innovation, and platforms such as TAEE can support this transition.

SP Rana (Director, Directorate of Industrial Safety & Health, Delhi) said that tools and equipment have a direct connection with occupational safety, as almost every industrial activity involves machines, tools or equipment. 

He said that proper design, maintenance and safe use can protect workers while improving productivity, while unsafe practices can lead to accidents. Under the Occupational Safety, Health and Working Conditions Code, 2020, greater emphasis is being placed on accident prevention, hazard identification, risk assessment and safe workplaces.

The event is supported by leading industry associations including the Chamber of Industrial and Commercial Undertakings, Ludhiana Hand Tools Association, Indian Cutting Tool Manufacturers Association, Jalandhar Traders and Manufacturers Association, Association of Welding Products Manufacturers, AGIA, APSCA and Rajkot Engineers Association.

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