Electronic Products

India’s consumer electronics sector is poised for significant growth, driven by domestic demand, government initiatives and a burgeoning middle class.

2-3x

Global growth across mobile phones, consumer durables, TV & audio, hearables & wearables, kitchen appliances and other small electronics & appliances

$29.12 Bn

Electronic goods exports in FY 2023–24

>90%

Over 90% of domestic production of AC, rose from ~40% in 2018

Sector Overview

The consumer electronics and appliances sector in India is a crucial area of focus for economic growth, driven by increasing domestic demand, urbanization and a burgeoning middle class.

According to the Ministry of Electronics and Information Technology (MeitY), India’s electronics market is projected to reach $300 Bn by 2025–26. Government initiatives like the Production-Linked Incentive (PLI) scheme are pivotal in boosting domestic manufacturing, reducing reliance on imports and fostering exports. The ‘Make in India’ campaign further enhances the sector by promoting local manufacturing and aiming to increase the manufacturing sector’s contribution to GDP. The Indian Electrical and Electronics Manufacturers’ Association (IEEMA) emphasizes the sector’s critical role in achieving India’s vision of becoming a global manufacturing hub, with a focus on adopting advanced technologies and fostering innovation.

Government efforts also extend to significant investments in research and development, facilitating technological advancements within the sector. The Ministry of Consumer Affairs, Food and Public Distribution plays a crucial role in ensuring quality standards and consumer protection, which supports the sector’s credibility and growth. Additionally, policies such as the Phased Manufacturing Programme (PMP) aim to increase domestic electronics production. These measures are designed to make India a significant player in the global consumer durables market

2nd Largest
Mobile manufacturing destination globally, with domestic production outpacing demand

Why Invest in Electronic Products

Growing demand

Household electronics consumption is projected to reach $270 Bn by 2030; smaller cities driving volume growth backed by an increase in personal disposable incomes & urbanisation.

Growing component ecosystem

Greater backward integration happening across categories, leading to improved margins and profitability.

Government push

PLI Support across mobile phones, ACs, LED Lighting and IT-Hardware supporting localisation and domestic manufacturing, as well as making India competitive as an export hub.