India's annual electronic exports are expected to double to $ 50 billion by 2030

Copyright © HT Digital Streams Limit all rights reserved. Operate Shouvik Das 4 min Read 10 Apr 2025, 05:20 am is the net incentive expenses for electronics over six years $ 2.7 billion. (Mint) Summary powered by the center’s incentive of electronic components, specialized foreign electronic manufacturers can set up Indian units-which in turn can help India to double its electronic exports within five years. New -Delhi: India’s electronic exports could double more than $ 50 billion a year by 2030 as part of the country’s efforts to take a high seat in the global electronic supply chain, according to three senior executives who regularly consult the ministry about the electronic sector. This boom is expected to be powered by the IT Ministry’s attempt to increase the part of locally manufactured components for smartphones, laptops, as well as semiconductor chips, both by local and foreign enterprises. On Tuesday, Itit Minister Ashwini Vaishnaw said India’s annual electronic exports to the world crossed £ 2 trillion ($ 23 billion) in FY25. “It’s a 54% growth over FY24,” he said, adding that electronic production has grown by a composite annual rate of more than 17% over the past decade. ‘Exports have grown even faster and have risen by 6x since 2015 with a CAGR of more than 20%,’ the minister said. The three managers quoted above said that India’s latest moves could help the country continue to continue this rate of growth and cross what one of them said is “an important milestone”, as trade tensions worldwide, and especially between the US and China, are still increasing. Read also | Center Mulls maximize electronic earnings amid uncertainty over Apple exports “The three major reasons why India makes its effort to bring more electronic manufacturers to the country is to isolate itself from geopolitical disruptions, increase its importance in the global electronic supply chain, and to increase India’s net export to the world. Candidate is driven by the demand for the latest technology in all industries, for which key component manufacturers in India should occur. Companies that are up to 10% of annual electronic components turnover that are mostly used in smartphones, and up to 25% of the capital expenditure incurred in locally built equipment and machinery used in the electronic industry. Read also | The electronic manufacturer Indkal Tech looks like it will raise $ 100 million by June. The net incentive layout will span $ 2.7 billion over six years. An important part of the scheme is the suitability for foreign enterprises to access these incentives. “The exact contours will be called for foreign enterprises by keeping in mind the best interests of India,” Vaishnaw said. “Details of how the foreign incentives will work will be unveiled later.” Each of these moves will help India cumulatively to cross $ 50 billion to annual electronic exports within five years, each of the above managers said. Vaishnaw, without setting a figure, said that the export of electronics will “grow more than the growth of the last decade”. According to these officials with Mint spoken, the electronic exports of India were fastened to grow at 17% CAGR to 2030. Stakeholders said that the growth rate, although matched over the past decade, is more important than before. Read also | Why India’s electronic sector is at least at risk due to Trump’s tariff investigation, “to achieve an annual growth of 17% on an operating size of nearly $ 25 billion is a much larger task than doing so over the past decade, when exporting electronics from India does not exist,” the second executive cited above. Once achieved, electronic exports alone will account for 10% of the total electronic economy of India, which is linked to the net annual revenue of $ 500 billion by 2030. Ankush Wadhera, MD and Partner at the Consultation Firm Boston Consulting Group (BCG) India, said that India’s current incentive scheme will generate a greater domestic value. “More importantly, it will help India to establish a more sophisticated electronic supply chain in the country, which will cause greater value of export in the long run,” he said. Ashok Chandak, president of the Industry Body India Electronics and Semiconductor Association (ITSA), told Mint that export upliftment could be an important thing. “Even if the domestic consumer economy does not rise, the focus on exports India can help fill the void and promote the targeted economic growth in the long run,” Chandak said. Read also | Electronics manufacturing companies that can perform better than indices this year. The move is important for India in attempting to close the big void with China. On February 6, the data released by the China’s Ministry of Industry and Information Technology (MIIT) said it exported 143 million laptops, 814 million phones and more than 298 billion in 2024. These exports were cumulatively on the net export income of $ 2.2 trillion for China. India’s export value is therefore about 1.5% of that of China. Catch all the industry news, bank news and updates on live currency. Download the Mint News app to get daily market updates. 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