Introduction
India, considered a popular manufacturing hub, has grown the domestic production of electronics from US$ 29 billion in 2014-15 to US$ 67 billion in 2020-21. The electronics sector of India contributes to around 3.4% of the country’s Gross Domestic Product (GDP).
The IT sector in India is one of the largest contributors with a 9% contribution to Gross Domestic Product (GDP). The industry size is around US$ 194 billion and is expected to cross US$ 300-350 billion by 2025.
India’s IT industries and companies are majorly located in the southern region such as Bangalore, Hyderabad, Chennai, Visakhapatnam, Trivandrum, Mysore, Mangalore, Kochi, etc. Other major information technology hubs in the country are Mumbai, Pune, Delhi, etc.
Export Trend
India is among the largest IT and BPM services exporting countries and accounts for about 56% of the global outsourcing market.
India’s electronic goods export during 2021-22 was US$ 12.4 billion; an 88% increase from that of 2013-14 which was US$ 6.6 billion. The key export products in the electronic goods segment from India are mobile phones, IT hardware, consumer electronic products and industrial & auto electronic goods.
Major Export Destinations
The top 5 destinations for Indian electronic goods exports are: the US, UAE, China, Netherlands and Germany.
For the IT-ITeS services of India, the top 3 export destinations of India are the US, the UK and the EU with a share of 62%, 17% and 11% respectively. The country also exports these services to Asia Pacific region, Latin America and Middle East.
Government Initiatives
With the growing need for electronic goods, the Ministry of Electronics and Information Technology (MeitY) has implemented several production-linked incentives (PLI) to improve the electronics production of India. The government has launched schemes such as the Manufacturing of Electronic Components and Semiconductors (SPECS), Modified Electronic Manufacturing Clusters (EMC 2.0), etc. for promoting the electronic goods industry of the country.
To further develop and increase the market share of the Indian BPO industry, the Government of India has implemented schemes such as North East BPO Promotion Scheme (NEBPC) and India BPO Promotion Scheme (IBPS).
Government Body
Ministry of Electronics and Information Technology (MeitY)
Founded in 1991, MeitY is the apex body governing the electronics and information technology industry of India. The functions of the ministry are promoting e-governance and India’s role in internet governance, tending to policy matters, interacting about IT-related matters with international bodies and promoting the industry in India through various schemes and initiatives.
RELATED SITES
Electronics and Computer Software Export Promotion Council (ESC)
ESC House,
155 Okhla Phase - III
New Delhi - 110020, India
Tel.:+91-11-47480000 (100Lines)
Email: info@escindia.com
Website: www.escindia.in
