How Has India Become a Major Electronics Manufacturer in Just 11 Years?

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How Has India Become a Major Electronics Manufacturer in Just 11 Years?

Synopsis

India's remarkable transformation into a significant electronics manufacturing hub highlights its robust policy framework and investments. With manufacturing growing nearly sixfold over 11 years, the country is now positioned as a leader in the global electronics market. Discover how strategic initiatives are reshaping the landscape of electronics in India.

Key Takeaways

  • India's electronics manufacturing has grown from Rs 1.9 lakh crore to Rs 11.32 lakh crore in 11 years.
  • The PLI scheme attracted investments of Rs 14,065 crore.
  • Mobile manufacturing units increased from 2 to over 300.
  • Electronics exports are now at Rs 3.26 lakh crore.
  • Approximately 25 lakh jobs are supported by the electronics sector.

New Delhi, Dec 5 (NationPress) India has established itself as a major player in the electronics manufacturing sector. Thanks to robust policy initiatives, the electronics manufacturing sector has expanded nearly sixfold over the past 11 years, soaring from Rs 1.9 lakh crore in 2014-15 to Rs 11.32 lakh crore in 2024-25, as reported to Parliament on Friday.

In 2020, the Indian government initiated the Production-Linked Incentive (PLI) scheme aimed at large-scale electronics manufacturing. This initiative primarily targets mobile phones and specific components. The scheme has successfully attracted investments totaling Rs 14,065 crore, as mentioned by Union Minister of State for Electronics and IT, Jitin Prasada, in the Rajya Sabha.

To boost the production of IT hardware, the government introduced a separate PLI for IT hardware, focusing on the manufacturing of laptops, tablets, servers, and ultra-small form factor (USFF) devices.

The minister reported that the PLI for IT hardware has drawn in investments amounting to Rs 846 crore thus far.

Moreover, the government has implemented various reforms in taxation, customs duty, and foreign direct investment (FDI) to further encourage electronics manufacturing.

Over the past 11 years, the number of mobile manufacturing units has surged from 2 to over 300. Following the launch of the PLI for large-scale electronics, mobile manufacturing value has escalated from Rs 2.2 lakh crore in 2020-21 to Rs 5.5 lakh crore.

Electronics exports have risen dramatically, expanding eightfold from Rs 38,000 crore in 2014-15 to Rs 3.26 lakh crore in 2024-25, making electronics the third-largest export category.

Mobile exports alone have grown from approximately Rs 22,000 crore to over Rs 2.2 lakh crore. Industry estimates suggest that the electronics sector now supports roughly 25 lakh jobs.

To further strengthen the value chain, the government introduced the ECMS scheme in 2025, which aims to promote domestic manufacturing of printed circuit boards, electrical and mechanical components, and camera modules. The government has received investment proposals exceeding Rs 1.15 lakh crore against estimated proposals of Rs 59,350 crore.

In less than three years, approval has been granted for 10 semiconductor units, with a cumulative investment of Rs 1.6 lakh crore.

Point of View

I believe this significant growth in India's electronics manufacturing sector is a testament to the government's strategic initiatives and reforms. With a focus on sustainability and technological advancement, India is not only boosting its economy but also positioning itself as a formidable player in the global electronics landscape. It's crucial for the nation to continue fostering innovation to maintain this momentum.
NationPress
05/12/2025

Frequently Asked Questions

What has contributed to India's growth in electronics manufacturing?
India's growth in electronics manufacturing is largely due to robust policy efforts, including the introduction of the Production-Linked Incentive scheme which has attracted significant investments.
How much has electronics manufacturing grown in the last 11 years?
Electronics manufacturing in India has expanded nearly sixfold, increasing from Rs 1.9 lakh crore in 2014-15 to Rs 11.32 lakh crore in 2024-25.
What is the significance of the PLI scheme?
The PLI scheme aims to incentivize large-scale electronics manufacturing and has successfully attracted investments of over Rs 14,065 crore.
What impact has this growth had on employment?
The electronics sector now provides employment to approximately 25 lakh people, reflecting its vital role in the Indian economy.
How have electronics exports changed?
Electronics exports have surged eightfold, rising from Rs 38,000 crore in 2014-15 to Rs 3.26 lakh crore in 2024-25.
Nation Press