India’s electronics manufacturing strategy is guided by the Hon’ble Prime Minister’s vision of AtmaNirbhar Bharat and making India a global manufacturing hub.

The Government has adopted a targeted approach to develop the entire value chain- from finished products to components, sub-modules, base materials and capital equipment used in its manufacturing

As a result of this approach, electronics manufacturing in India has expanded significantly in the last 11 years (Table 1). Industry estimates indicate that domestic value addition in electronics manufacturing has improved significantly over the years and is currently 18%-20%.

Table 1:

#	2014-15	2024-25	Remarks
Production of electronics goods (₹)	~1.9 Lakh Cr	~12 Lakh Cr	Increased 6 times
Export of electronics goods (₹)	38 thousand Cr	~3.3 Lakh Cr	Increased 8 times
Production of mobile phones (₹)	18 thousand Cr	5.45 Lakh Cr	Increased 28 times
Export of mobile phones (₹)	1,500 Cr.	2 Lakh Cr	Increased 127 times
Mobile Phone imported (units)	75% of the total demand	0.02% of the total demand

 

PLI Scheme for Large Scale Electronics Manufacturing

Production Linked Incentive (PLI) Scheme for Large Scale Electronics Manufacturing (LSEM) was started in 2020 with an aim to boost domestic manufacturing of mobile phones in the country.

32 beneficiary companies were approved under the scheme. The details of the targets and achievement under the PLI Scheme for LSEM are tabulated below: 

 

Category	Scheme Targets	Achievement till Feb’ 2026
Investment (₹ Cr)	7,000	17,519  (250% of the target)
Production (₹ Cr)	8,12,550	11,01,813  (136% of the target)
Exports (₹ Cr)	4,87,530	6,20,974  (127% of the target)
Employment (Direct Jobs)	2,00,000	1,85,175  (92% of the target)

 

As a result, India has emerged as a 2^nd largest mobile manufacturer in the world. The mobile phone production in the country has become more than doubled from Rs. 2.14 Lakh crores in FY 2019-20 to Rs. 5.5 Lakh crores in FY 2024-25.

The mobile phone exports have increased ~8 fold from Rs. 0.27 Lakh crores in FY 2019-20 to Rs. 2 Lakh crores in FY 2024-25.

From being an importer of mobile phones back in 2014, India has now become a net exporter. We have more than 300 mobile manufacturing units operational in the country.

Smartphones have emerged as India’s top exported commodity in CY 2025. The top 3 commodities exported from India in CY 2025 are mentioned below:

Top 3 items of Export for CY 2025

 

#	HS Code	Item	Export value for CY 2025 (₹. Cr.)
1	85171300	Smartphones	262,452
2	27101944	Automotive diesel fuel, not containing biodiesel, conforming to standard IS 1460	1,42,227
3	71023910	Diamond (other than industrial diamond) cut or otherwise worked but not mounted or set	1,08,652

Source: DGCIS

Industry estimates indicate that mobile phone manufacturing sector supports around 12 lakh jobs (direct and indirect).

 

PLI Scheme for IT Hardware

Government of India also launched the PLI Scheme 2.0 for IT Hardware in 2023 to create a robust domestic manufacturing ecosystem for IT hardware (laptops, tablets, servers, etc.). The aim is to attract large investments, reduce import reliance and make India a trusted global supply chain hub.

Under the scheme, a total cumulative production of Rs. 18,863.1 crore, total cumulative investment of Rs. 872.16 crore and total cumulative employment of 5,039 (direct jobs) have been achieved till February, 2026. Further, a total of Rs. 82 Crore have been disbursed as incentives under the schemes till date.

Driven by PLI, and supported by the growth of domestic component manufacturing, laptops, servers and desktops are now being manufactured in India. The quality of these products is at par with global standards, with Indian manufacturing facilities emerging among the best.

 

Electronics Component Manufacturing Scheme (ECMS)

Government launched ECMS to further deepen the supply chain ecosystem and develop robust electronics component ecosystem in the country.

It aims to attract investments across key components, base materials and capital goods such as Printed Circuit Boards (PCBs), passive components, electro-mechanical components, sub-assemblies, camera modules, optical transceivers, and capital goods for electronics manufacturing.

The scheme has received overwhelming response from industry so far. Against the investment target of Rs 59,350 crores, investment commitments of Rs 1.15 lakh crores have been received. The estimated employment generation from these is around 1.4 lakh jobs.

Taking cognizance of the strong industry response, in Budget 2026, the Government enhanced the budgetary outlay of the scheme from Rs 22,919 crores to Rs 40,000 crores.

Till date, 75 applications have been approved across 12 states under the ECMS scheme.

Government interventions through these schemes have created a complete electronics manufacturing ecosystem in India. As a result, domestic value addition is steadily increasing, with greater localisation of components and sub-assemblies.

This information was submitted by Union Minister of State for Electronics and Information Technology Shri Jitin Prasad in Lok Sabha on 01.04.2026.

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MSZ

 

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