Electronics System Design & Manufacturing (ESDM) Industry Analysis

India is the second largest mobile handsets manufacturer in the world with regards to volume produced amounting to 30 crore (300 million) in FY21.

Advantage India

Robust
Demand

* India has strong design and R&D capabilities in auto electronics and industrial economics. India is the Second-largest manufacturer of mobile phones in the world and will be the fifth-largest consumers of electronic products by 2025.

* Electronics repair, in addition to manufacturing, is a US$ 20 billion opportunity that has the potential to create five million jobs.

Competitive
Advantage

* India committed to reach US$ 300 billion worth of electronics manufacturing and exports by 2025-26.

* India is home to considerable talent for electronic chip design and embedded software.

Policy
support

* The production-linked incentive (PLI) schemes will provide companies opportunities to establish manufacturing plants in India.

* Major Government initiatives such as ‘Digital India’, ‘Make in India’ and supportive policies including favorable FDI Policy for electronics manufacturing have simplified the process of setting up manufacturing units in India.

Increasing
Investments

* Post COVID, the Government of India aims to increase India’s contribution by around US$ 400 billion worth of electronics goods including exports worth US$ 120 billion, which would account for 9-10% of the overall global value chains, from the current supply potential of 1-2%.

Last updated: Dec, 2022

ESDM Clusters

  • Madhya Pradesh
  • Andhra Pradesh
  • Punjab
  • Kerala
  • Tamil Nadu
  • Uttar Pradesh
ESDM India

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