India’s electronics manufacturing sector has experienced a remarkable transformation over the past decade, driven by targeted government policies, robust incentives, and strategic investments. According to Union Minister for Electronics and Information Technology, Railways, and Information & Broadcasting, Mr. Ashwini Vaishnaw, India’s electronics manufacturing industry has achieved a five-fold growth, reaching a substantial value of ₹11,00,000 crore (approximately US$ 128.76 billion) in the financial year 2024-25 (FY25). This growth has been accompanied by an even more impressive six-fold rise in electronics exports, totaling over ₹3,25,000 crore (US$ 38.04 billion), solidifying India’s position as a global player in the electronics industry.

Key Drivers of Growth: Policy Support and Targeted Incentives

This surge in both manufacturing and exports can be attributed to several key factors. The Indian government has implemented a range of supportive policies and incentives under the ‘Make in India’ and ‘Atmanirbhar Bharat’ (Self-Reliant India) initiatives. These initiatives have created a favorable environment for growth, fostering local manufacturing and helping Indian electronics companies compete globally.

One significant component of this transformation is the Expansion of India’s Design Ecosystem, which has facilitated the local development of cutting-edge technologies. Innovations in artificial intelligence (AI) cameras, telecommunications equipment, and power electronics have become integral to India’s electronics sector. These advances have not only boosted domestic manufacturing but have also strengthened India’s reputation for producing high-quality, reliable electronics.

VVDN Technologies: A Key Player in India’s Electronics Growth

During the inauguration of VVDN Technologies’ new Surface Mount Technology (SMT) Line in Manesar, Mr. Ashwini Vaishnaw emphasized how Indian-made electronics have gained global recognition for their reliability and adherence to intellectual property rights (IPR). The launch of the SMT Line, the company’s largest manufacturing unit to date, underscores India’s growing strength in electronics production.

The SMT Line supports the assembly of printed circuit boards (PCBs) as large as 850mm x 560mm, and boasts a high-speed assembly capacity of 250,000 components per hour. This capacity significantly enhances the efficiency and scale of operations, further contributing to India’s ability to compete in the global market. Additionally, VVDN Technologies’ Mechanical Innovation Park, which focuses on tool-making and injection moulding, will support localization and backward integration, which are critical for developing a sustainable electronics manufacturing ecosystem.

Job Creation and Workforce Development

The growth of India’s electronics manufacturing sector has also led to significant job creation. Nearly 25 lakh jobs have been generated as a result of this sector's rapid expansion, with more on the horizon as companies like VVDN Technologies continue to scale operations. VVDN’s expansion plans include hiring over 3,000 skilled professionals, underscoring the increasing demand for talent in advanced manufacturing technologies.

VVDN Technologies currently employs a workforce of 5,000 engineers across 11 Research and Development (R&D) centres, playing a key role in advancing India’s ambition to become a global electronics manufacturing hub. The company’s expansion and commitment to R&D reflect a broader trend within the industry, where innovation is the driving force behind growth and export success.

Government Support and Future Outlook

In addition to the policy reforms already in place, the Cabinet's approval for new incentives for electronics components is expected to deepen the manufacturing value chain. These incentives will further bolster the domestic electronics sector by encouraging the local production of components, reducing dependency on imports, and creating more opportunities for Indian companies to engage in high-value manufacturing.

India’s Electronics Industry: A Global Leader in the Making

The continuous rise in India’s electronics exports and manufacturing capabilities highlights the country’s potential to become a global leader in the sector. As Indian electronics products, including smartphones, AI-driven devices, telecommunications infrastructure, and power electronics, gain more global recognition, the industry is well-positioned for future growth.

India’s ongoing focus on localization, R&D, and skilled workforce development is crucial for building a sustainable manufacturing ecosystem. The success of the ‘Make in India’ and ‘Atmanirbhar Bharat’ initiatives is evident in the remarkable strides India has made in electronics production, and the future looks promising for the country’s ambitions to be at the forefront of global electronics manufacturing.

Conclusion

India’s electronics manufacturing sector is on the verge of becoming a dominant force in the global market. With the government’s strategic policy support, a burgeoning design ecosystem, and the rapid growth of companies like VVDN Technologies, India’s electronics exports are set to continue their upward trajectory. As the country moves towards self-reliance and deeper integration into the global supply chain, it is clear that India’s electronics industry is both a pillar of economic growth and a symbol of the country’s technological prowess.

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