According to The Economic Times, NITI Aayog has drafted a comprehensive roadmap to boost India’s capability for exporting electronics, which involves moving away from labour-intensive assembly processes to manufacturing with a greater value add. The think tank also stated that for India to be able to improve its position within global value chains, it needs to enhance its capabilities domestically for design, component manufacture, and advanced manufacturing. According to the report, while India has gained in respect of production in the electronics industry, particularly as it relates to mobile phone manufacturing, the next phase of growth depends on the extent to which value is added and as much as possible on components that are not imported. Priorities to facilitate export growth include strengthening competitiveness via a greater quality of products and increased integration into global supply chains.
According to the roadmap, logistics efficiency, regulatory simplification, and infrastructure development are vital for export growth in India. The intention is to streamline the approval process, lower compliance costs, and promote a more straightforward business climate for manufacturers. The result should be an accelerated expansion of the manufacturing base that will attract more investors. The proposed roadmap also supports India's desire to achieve Rs. 41,50,000 crore (US$500 billion) in electronics output for the fiscal year 2030, as it positions India as a significant global hub for electronics manufacturing. The focus of the proposed roadmap is to create a highly innovative, competitive, and resilient supply chain to develop a strong and reliable electronics ecosystem that will promote sustained export growth, create jobs, and significantly impact the long-term economic transformation of India through the Viksit Bharat vision.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.