Where Growth Meets Opportunity

India has the largest youth population in the world, with more than 65 percent of residents under the age of 35. This demographic structure is a key driver of consumption. India’s middle class is growing rapidly, boosting demand for consumer goods, technology, services, and luxury products. International companies that focus their products or services on young, technology-savvy consumers find enormous growth potential in India.

The Indian e-commerce sector has experienced a boom in recent years. Platforms such as Amazon or Walmart subsidiary Flipkart are benefiting from the country’s increasing internet access and digitization. According to forecasts, the Indian online market will grow to more than 350 billion US dollars in annual sales by 2030.

Technological innovation

India has established itself as a global technology hub. Cities such as Bengaluru, Hyderabad, and Pune are often referred to as the “Silicon Valley of India” and are home to numerous start-ups as well as research and development centers of multinational corporations. The country is now one of the world’s leading nations in terms of the number of unicorns.

The Indian government is actively supporting this development through initiatives such as “Digital India” and “Startup India”, which aim to promote technology and entrepreneurship. India is an ideal location for international companies interested in innovation or looking for access to a pool of highly skilled workers.

Strategically important location

India is located in the center of the Asian continent and has access to important international trade routes. The country not only offers access to its huge domestic market, but also serves as a bridge to other Asian countries. This makes India an attractive hub for international companies looking to expand their presence in Asia.

In addition, India has concluded numerous free trade agreements and economic cooperation agreements with other countries in recent years to promote international trade. The government’s efforts to reduce bureaucracy and facilitate foreign direct investment (FDI) are helping to further simplify doing business in India.

Sectors with high growth potential

India offers a wide range of opportunities across a range of industries:

• Technology and IT: The Indian IT industry is one of the largest in the world. Companies such as Infosys, TCS, and Wipro have gained international recognition, offering partnerships and outsourcing opportunities.
• Pharma and healthcare: India is the world’s largest manufacturer of generic medicines and has proven its role as the “pharmacy of the world” during the COVID-19 pandemic. The demand for healthcare services and medical technology is growing rapidly.
• Renewable energy: As part of its efforts to combat climate change, India is investing heavily in solar and wind energy. The country is well on its way to becoming a leading player in the renewable energy sector.
• Automotive industry: With initiatives such as “Make in India”, the government promotes the production and export of automobiles and vehicle parts. The market for electric vehicles in particular shows great potential.

In the state of Maharashtra, for example, new data centers are currently being promoted. As it was communicated during the World Economic Forum 2025, authorities grant the operators tax benefits for this, help with the necessary permits and ensure low electricity costs. Interested parties should reach out to the Directorate of Industries of Maharashtra and clarify the details it was said in Davos.

In addition, organisations such as the Invest India initiative and local chambers of commerce are important first points of contact. They offer advice on investment opportunities, legal issues and regional peculiarities. Management consultants with local market knowledge can also guide companies through regulatory requirements and cultural differences. In addition, chambers of commerce and industry such as the Federation of Indian Chambers of Commerce & Industry (FICCI) or the Confederation of Indian Industry (CII) are valuable networks for exchange and making contacts.

Market entry in India

Before an international company expands into India, it should analyze the market there. In addition to assessing the competitive landscape and identifying consumer needs, this includes understanding regional differences. India is not a homogeneous market, but consists of 28 federal states, which often have their own rules, languages and cultural peculiarities. In addition, the federal states compete with each other when it comes to foreign investment.