Electronic Goods Surge to 3rd Spot in India's Export Powerhouse

Electronic products have risen to third place among the leading performers in India's export sector, following engineering goods and petroleum, up from sixth place last year. In the electronics industry, smartphone exports have seen a 45 percent rise as major companies like Apple and Samsung increase their manufacturing in the nation.

The PLI scheme and rapid approvals from the government are showing significant success as international corporations seek alternatives to isolated China for establishing new supply chains.

Apple's foray into India, backed by its partners Foxconn, Pegatron, and Tata Electronics, has increased smartphone exports this year. The exportation of consumer electronics, solar panels, desktop computers, and routers has also seen considerable growth. A senior official stated that electronics exports are likely to ramp up further as semiconductor manufacturing capabilities are currently being established in the country.

The Union Cabinet recently sanctioned a proposal from Kaynes Semicon to establish a semiconductor facility in Sanand, Gujarat, involving an investment of Rs 3,307 crore. This marks the fifth semiconductor facility granted approval under the India Semiconductor Mission (ISM) and the second one to be established in Sanand. This raises the overall investment to Rs 1,52,307 crore ($18.15 billion).

In December 2021, the government initiated the ISM and the display manufacturing ecosystem with an investment of Rs 76,000 crore. Minister for Electronics Ashwani Vaishnaw has described the semiconductor sector as a "fundamental industry" for India's objectives in domestic manufacturing.