Over the past few decades, India has emerged as a significant player in the global electronics market. The country's electronics export industry is experiencing a remarkable growth rate, attracting attention from all corners of the world. In this blog, we will explore the top driving factors that have contributed to India's remarkable growth in electronics exports.
The growth rate of the Indian electronics industry has been impressive in recent years. The domestic production of electronics has grown from $43 billion in FY17 to $87 billion in FY22. The export of electronic goods from India has also grown at a CAGR of 22%, from $5 billion in FY17 to $15 billion in FY22, as per electronic export data.
The government of India has been taking several initiatives to boost the electronics manufacturing sector in the country. These include the Production Linked Incentive (PLI) scheme, which offers financial incentives to companies that set up manufacturing plants in India. The government has also been working to improve the availability of semiconductors and other electronic components in the country.
As a result of these initiatives, the government has set a target of achieving $300 billion in electronics manufacturing by FY26. If this target is achieved, the electronics industry will become one of the largest sectors in the Indian economy.
Here are some of the specific growth rates for different segments of the Indian electronics industry:
Now dive into the key factors of India’s electronics export:
There are several key factors that are driving India's electronics export growth. Some of them are:
Exports and Global Impact: India's electronics exports have experienced substantial growth, with the nation now being recognized as a major player in the global electronics market. Based on Electronics export import data, electronics exports from India were valued at USD 11.14 billion in the fiscal year 2020-21.
Competitive Labor costs: India has a competitive labor cost advantage over other countries in the electronics manufacturing sector. This is due to the availability of a large pool of skilled and semi-skilled workers at relatively low wages.
The domestic demand for electronics products is also rising in India. This is due to a number of factors, including the increasing affluence of the Indian population, the growing penetration of smartphones and other electronic devices, and the government's focus on digitization.
The Indian government has been investing heavily in digitization. The government has launched a number of initiatives, such as the Digital India and Startup India programs, which are aimed at making India a digital economy.
To stay competitive, Indian electronics manufacturers have been investing in research and development, fostering innovation, and embracing advanced technologies like Artificial Intelligence (AI), the Internet of Things (IoT), and 5G. This drive for innovation is positioning India as a key player in the development of next-gen electronics products.
India is strategically located in the heart of Asia and is well-connected to major markets in the region. This makes it an attractive destination for electronics manufacturers who want to export their products to other countries in Asia.
India is well-connected to major economies in Asia, such as China, Japan, and South Korea. This makes it easy for Indian electronics manufacturers to export their products to these markets.
Also Read: How to Boost Textile Exports from India?
As we know, India is a major exporter of electronics, with a wide range of products being shipped to countries all over the world. Some of the most common electronics items exported from India include:
Mobile phones: India is one of the world's leading manufacturers of mobile phones and exports handsets worth billions of dollars each year.
Laptops: India is also a major exporter of laptops, with companies like Dell, HP, and Lenovo all having manufacturing plants in the country.
Televisions: India is a major producer of televisions and exports millions of sets each year.
Computers: India exports a wide range of computer components, including motherboards, processors, and memory.
Medical Equipment: India is a major exporter of medical equipment, including surgical equipment, diagnostics, and imaging.
Telecom Equipment: India is a major exporter of telecom equipment, including routers, switches, and base stations.
In addition to these products, India also exports a wide range of other electronics products, such as cameras, printers, and audio equipment. To know the updated statistics of Indian electronics export products, visit to ExportImportData.in
Here are some of the top destinations for India's electronics exports:
These countries are major consumers of electronics, and they offer favorable trade terms to Indian exporters. As a result, they are the top destinations for India's electronics exports.
Also Read: How to Export iPhone from India?
India's electronics sector is expanding, and the government has provided short- and long-term goals to make the country a hub for electronics manufacture and exports.
Make India the world's leading producer and exporter of electronics.
Make a significant contribution to the global value chain.
Create a full ecosystem worth more than US$1 trillion for mobile devices, consumer electronics, and IT gear in the upcoming ten years.
By 2025–2026, the government expects electronics to be among the top three export commodities. The demand for electronics is expected to grow to US$180 billion by 2025–2026, thanks to several government initiatives. The achievement of these objectives would depend heavily on global competitiveness at the highest scale.
India's electronics exports are growing steadily and are expected to continue to grow in the coming years. The key drivers of this growth include government policies, rising domestic demand, a skilled workforce, a competitive cost structure, and a strategic location. The government has set a target of achieving $300 billion in electronics manufacturing by FY26.
So, if you are looking for information on India's electronics exports, ExportImportData.in is the best source for India's electronics export import data. We provide comprehensive India Trade data on India's import and export of electronics products, including market trends, product prices, HS codes, and supplier information. Visit ExportImportData.in today! and Book a free live demo with us.
Export Import Data solutions is one of the best online import export websites in India that provides trade data services and trading business information. Currently, Export import data is the best import export data provider and market research companies in India.