From $1 billion to $25 billion: India’s hand, power tools sector eyes global push
India’s hand and power tools exports could surge more than 25-fold to over $25 billion by 2035 from around $1 billion currently, as rising manufacturing activity, technology adoption, and stronger local supply chains create opportunities for the sector to expand its global footprint. Industry experts made such a projection during the Tools & Equipment Expo 2026, which began at Bharat Mandapam in New Delhi on September 18.
The three-day Tools & Equipment Expo 2026 brought together more than 300 exhibitors, over 2,000 products on display, 150+ new product launches and 8,000+ industry professionals with participation from leading domestic and international brands.
Yogesh Mudras, managing director at Informa Markets in India, said, as quoted by Moneycontrol, that India’s hand and power tools exports are currently around $1 billion and have the potential to cross $25 billion by 2035.
The push comes as India’s manufacturing sector is looking to deepen domestic supply chains and reduce dependence on imported components. Industry experts noted that greater technology adoption and rising domestic demand could help tools and equipment manufacturers expand globally.
Next phase would involve deeper digital integration
Yadu Kumar Yadav, deputy director at NPC-DPIIT under the Ministry of Commerce and Industry, said the focus for MSMEs over the past decade had been on lean manufacturing. The next phase, he said, would involve deeper digital integration, with businesses moving towards Industry 4.0 and IoT-enabled systems.
“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. 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. Platforms such as TAEE can support this transition by bringing innovators, MSMEs and technology providers together to exchange knowledge and explore collaborations,” he added.
Industry faces several hurdles
India already accounts for around 15% of the global cutting tools market, according to industry estimates. The global cutting tools market is currently valued at about $23 billion and is projected to approach $30 billion by 2030, said PG Subramanian, executive secretary of the Indian Cutting Tool Manufacturers’ Association.
However, the industry faces hurdles, including raw-material constraints and limited domestic recycling and reprocessing facilities. Industry representatives have also sought easier access to government schemes and simpler regulatory compliance.
They further stressed that technology and machinery will need to be accompanied by skilled manpower and greater localisation of components and supply chains if India is to capture the projected export opportunity.
