New Delhi: India targets $300 billion in electronics production in FY26 as the country aims to become a $1 trillion economy by 2025. Economic survey 2022-23, the domestic electronics industry was valued at $118 billion as of FY20 and the industry continues its growth path, led by mobile phones, consumer electronics and industrial electronics.
According to data, electronics exports grew 13.8% in FY 23 (April-November), the highest in the past six years. With robust growth, India is targeting $120 billion in electronics exports in FY 26.
“The domestic electronics industry is valued at $118 billion as of FY20. India is targeting $300 billion in electronics production and $120 billion in exports by FY 26, underpinned by a vision of a $1 trillion digital economy by 2025, the survey said.
The main growth drivers in this sector are mobile phones, consumer electronics and industrial electronics. In the mobile phone segment, India has become the second largest mobile phone manufacturer in the world with handset production rising from 6 crore units in FY15 to 31 crore units in FY22. expectation improve as more domestic and global players set up and expand their bases in India,” the survey said.
Two major global and domestic electronic manufacturing services players have already embraced the Production Linked Incentive (PLI) program. The scheme will help many more domestic players achieve economies of scale through localization. “Therefore, this will further improve export competitiveness and increase India’s participation in the global value chain,” the study said.
Some of the government initiatives and incentives to nurture and improve the electronics manufacturing base include the PLI schemes for large-scale electronics production, the PLI scheme for IT hardwarethe scheme to promote the manufacture of electronic components and semiconductors (SPECIFICATIONS). Moreover, under the India Semiconductor and Display Manufacturing Ecosystem Development Program, the Cabinet approved the comprehensive development of a sustainable semiconductor and display manufacturing ecosystem in the country with an expenditure of Rs 76,000 crore.
“Electronics production as a whole, we see next year we will do at least Rs 1.28 lakh crore. I have already mentioned that we will see mobile phone production reach Rs 1 lakh crore in 2023-2024,” said Chandrasekhar .