Different sectors gradually replaced the expanding sectors, as the growing sectors in 2000 differed from the increasing sectors in 2021. Electric vehicles, Fintech, and other areas such as healthcare are expected to increase significantly by 2021. However, they will continue to expand, and 2022 will be a bright year for these four future-ready industries, as well as those developing in India and elsewhere.
Manufacturing dominated the twentieth century. The internet boom occurred between the 1990s and 2010. And now is the time to gather information. In general, IT firms expand at a considerably quicker rate than industrial enterprises. And, unsurprisingly, talented workers in the information technology field earn far more than those in traditional industries.
Many causes, such as technology advancements, economic demands, and the Indian government making good policies (digital India), are encouraging the growth of this business. The information technology sector is expected to increase as a result of these causes. As a result, IT stocks might be considered one of India's finest long-term investment sectors.
TCS, Infosys, WIPRO, HCL, Tech Mahindra, and other large IT businesses have already built a strong brand value and generated significant money for their shareholders. Nonetheless, some businesses might be regarded as secure long-term investments. Mid-cap IT industry companies, on the other hand, are an excellent long-term investment in India if you want fast-growing businesses with strong upside potential.
In response to changes in customer behaviour throughout the world, the retail industry is experiencing a significant transformation. In the post-COVID era, the industry wants more convenience. Retailers are implementing an omnichannel strategy, speeding up the adoption of digitalization, and creating new-age technology to fulfil the expanding need of the Indian client. In the face of the epidemic, the industry's future will be defined by its ability to embrace a multi-channel strategy. Physical retail or omnichannel distribution seems promising when online and offline channels compete. Furthermore, e-commerce is rapidly expanding throughout the country. Customers benefit from an ever-growing assortment of low-cost merchandise. E-commerce is most certainly causing the greatest transformation in the retail business, and this trend is expected to continue in the coming years.
According to CNBC, the global fleet of electric vehicles increased by 54% to almost 3.1 million in 2017. By 2030, the number of electric cars on the road worldwide is expected to reach 125 million. (Source: CNBC)
By 2030, the whole globe (including India) will be powered by electric automobiles. Therefore, if you are looking for long-term investment opportunities in India, you may not want to miss out on this change.
When it comes to electric cars, the batteries, braking system, and microcontroller are the three most crucial components. Other common vehicle elements, such as the body, tyres, and drive system, are also involved, but these three are the most important.
Batteries must be powerful and efficient in order for electric cars to go greater distances without discharging. Several businesses are already striving to enhance existing lithium-ion battery technologies.
India's renewable energy sector is predicted to grow in 2022, with an estimated investment of more than USD 15 billion as the government concentrates on electric vehicles, solar equipment manufacturing, green hydrogen, and fulfilling the ambitious 175 GW renewable capacity target. India now has more than 150 GW of installed renewable energy capacity, with the goal of reaching 175 GW by 2022. Solar power would generate 100 GW, wind power would generate 60 GW, biopower would generate 10 GW, and minor hydropower projects would generate 5 GW.
According to DPIIT figures, FDI inflows into India's non-conventional energy business were US$ 10.28 billion between April 2000 and June 2021. (Department for Promotion of Industry and Internal Trade). The nation invested $11.1 billion in new renewable energy in 2018. India will be ranked third in the world in terms of renewable energy investments and objectives in 2020, according to the analytics firm British Business Energy.
Due to the COVID-19 epidemic, the healthcare industry has faced several challenges in the previous two years, but it has conquered them all. The future seems bright, as the sector is now well-equipped and planned. Over 80% of healthcare systems intend to increase their investment in digital healthcare technology over the next five years, according to the Healthcare Information and Management Systems Society's “Future of Healthcare Report”. According to Invest India study, India's healthcare industry would be worth $372 billion by 2022. Hospitals account for 80% of the healthcare industry in India, and it is predicted to increase at a CAGR of 16-17% to $132.84 billion by FY22, up from $61.79 billion in FY17.
The pharmaceutical industry is intertwined with the healthcare industry, and with the healthcare sector predicted to develop in 2022, the pharmaceutical industry is looking forward to a bright year. The IPS is expected to grow at a rate of 9-11 percent in 2021-22, according to rating agency ICRA, with domestic and emerging markets driving development in the next quarters. In a sample of 21 Indian pharmaceutical companies, revenue growth in the second quarter of FY22 was low at 6.4 percent, down from 16 percent in the first quarter of 2021-22, according to ICRA. Even while growth in domestic and developing markets remained strong, the normalisation of the base and pricing pressures in the US market were the major reasons for the slowing growth pace in Q2 FY22, according to ICRA.