Machine tool sector is a basic capital good industry. It is a sub-sector of the engineering industry included under the category heavy engineering units. Machine tool segment produces mother machines therefore plays a vital role in the technological upgradation, quality control and cost in the engineering & manufacturing sector. There are currently about 1000 units in production of machine tools, accessories/attachments, subsystems and parts. Of these, around 25 in the large scale sector accounts for 70% of the turnover and the rest are in the MSME sector of the industry. The large organised players caters to India’s heavy and medium industries whereas the small scale sector meets the demand of ancillary and other units.