The Minister of State for Electronics and IT, Rajeev Chandrasekhar has said that India has an “unprecedented opportunity” to grow electronics manufacturing to USD 300 billion in the next 3-4 years.
He explained that this will be built through scale, competitiveness, large market and enabling policies.
“The world is seeking more trusted sources for electronics manufacturing post the outbreak of covid-19 and India has all the essential elements in place to seize the opportunity,” he said.
The global electronics market is estimated to be over USD 2 trillion, while India’s share in global electronics manufacturing has grown from 1.3% in 2012 to 3.6% in 2019.
India has emerged as one of the largest markets for electronic products in the world, as there are estimated to be about 30 million SME manufacturing units in India, which contribute about 45-47 per cent of India’s industrial output.
From which 42 per cent goes to the country’s total exports, adding up to 37 per cent of our GDP, while employing over 60 million, which is over 66 per cent of the 80 million people employed within the Indian manufacturing sector, as per Ministry of MSME reports.
In terms of employment, the manufacturing sector employs about 22 per cent of the country’s total workforce, the size of which is estimated to be between 430-470 million.
While SME sector creates more than 1.3 million jobs every year and produces more than 8,000 quality products for the domestic and international markets.
Therefore, policies and schemes pertaining to the growth of electronic manufacturing in India must realise the significance of SMEs in achieving the USD 300 billion goal.
Supporting SMEs will create a win-win situation for the sector and the economy.