Over the last decade, the electronics manufacturing sector in India has undergone a massive transformation to become a great production center. The sector has witnessed immense growth, both in terms of output and exports, due to some strategic government measures and the rise in foreign investment.
Creating quite a buzz in 2014 was a relatively modest electronic labor market in India, while now, by 2025, it has transformed into a full-blown ecosystem. The value of electronic products made has multiplied six times, and exports have increased eightfold, all pointing toward the enhanced global competitiveness of the sector.
Mobile Manufacturing takes center stage, the mobile segment has witnessed the explosive growth. While in 2014, there were only two manufacturing units, now India has 300 manufacturing facilities. Production has ascended from ₹18,000 crore to ₹5.45 lakh crore, and exports have increased from ₹1,500 crore to ₹2 lakh crore, that is 127% growth.
Policy Reforms:
The government-led PLI scheme is one of the aspects that contributed to this change. The scheme takes in investment upward of ₹13,000 crore and causes production of nearly ₹8.57 lakh crore, as well as creation of more than 1.35 lakh direct jobs. The scheme’s impact on international trade is demonstrated by the ₹4.65 lakh crore in export data.
Inflows of FDI and Semiconductor Push
The Semicon India programme being carried out under six projects is undergoing investments of more than Rs 1.55 trillion and is expected to create over 27,000 direct jobs and build a solid chip-making ecosystem.
Foreign direct investment into electronics manufacturing has now crossed $4 billion since FY21, and around 70% of this inflow is linked to PLI beneficiaries. This is the investing community`s vote of confidence.
With a budget of ₹22,919 crore, the Electronics Components Manufacturing Scheme (ECMS) was introduced with the goal of increasing domestic capabilities and decreasing reliance on imports.
It is purported that one direct job in electronics sector results in three indirect jobs, thus substantially contributing to the broader socio-economic impacts in the country.
Conclusion:
India’s electronics rush is not just numerically driven, but strategically poised for attaining self-reliance and global influence and technological leadership. With this momentum intact, the country is moving to become a major force in the global electronics supply chain.
