Electronics production increased from ₹2.4 lakh crore in 2014 to ₹9.8 lakh crore in 2024.
India is making significant strides in IT hardware manufacturing, marking a transformative phase in the country’s journey toward self-reliance and economic empowerment. With initiatives like the Production Linked Incentive (PLI) 2.0 scheme, state-of-the-art facilities, and collaborative efforts with global leaders, the Modi government has laid a strong foundation for India’s emergence as a global leader in electronics and IT hardware manufacturing.
The Significance of IT Hardware Manufacturing for India
- Economic Growth: The sector plays a crucial role in boosting GDP, creating employment, and enhancing India’s global trade footprint.
- Self-Reliance: With initiatives like “Make in India” and “Atmanirbhar Bharat,” manufacturing locally reduces dependence on imports and strengthens India’s technological capabilities.
- Technological Advancement: Developing an indigenous IT hardware manufacturing ecosystem encourages innovation, technological prowess, and a robust digital infrastructure.
- Global Positioning: Becoming a hub for IT hardware production places India as a key player in global value chains, bolstering its image as a manufacturing powerhouse.
The Modi Government’s Initiatives and Achievements
PLI 2.0 for IT Hardware
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- Launched in May 2023, this scheme offers a 5% incentive to companies producing laptops, tablets, servers, and other IT hardware.
- Achievements as of December 2024: ₹10,000 crore in production, ₹520 crore in investments, and 3,900 new jobs.
- Projected impact: ₹3.5 lakh crore in production and 47,000 jobs over the scheme’s tenure.
Inauguration of Syrma SGS Laptop Assembly Line
- Located in Chennai’s Madras Export Processing Zone (MEPZ), this facility marks a pivotal step in India’s IT hardware journey.
- Initial capacity: 100,000 laptops annually, with scalability to 1 million units.
- Collaboration with MSI, a Taiwanese tech leader, ensures world-class manufacturing standards.
Tamil Nadu: A Powerhouse for Electronics Manufacturing
- Contributing ₹1.3 lakh crore in production and 30% of India’s electronics exports.
- Supported by schemes like SPECS and M-SIPS, the state has attracted substantial investments, including ₹8,700 crore in the Sriperumbudur Electronics Manufacturing Cluster.
- Iconic achievements: Manufacturing the latest iPhone models in Tamil Nadu.
Development of an Electronics Component Ecosystem
- Union Minister Ashwini Vaishnaw has emphasized the importance of building an indigenous electronic components ecosystem to sustain the IT hardware revolution.
Expanding India’s Electronics Manufacturing Capacity
- Electronics production increased from ₹2.4 lakh crore in 2014 to ₹9.8 lakh crore in 2024.
- Mobile manufacturing alone has reached ₹4.4 lakh crore, with exports of ₹1.5 lakh crore.
Viksit Bharat Mission: A Role for IT Hardware Manufacturing
Digital Empowerment
- Affordable and locally manufactured IT hardware will support the Digital India initiative, ensuring equitable access to technology.
- It aligns with the government’s vision of creating a knowledge-based economy.
Job Creation
- IT hardware manufacturing is generating thousands of specialized jobs, providing opportunities for skilled and semi-skilled workers alike.
Sustainability and Innovation
- Initiatives like the Bio-E3 Policy and electronics manufacturing clusters promote environmentally friendly practices and innovation in technology.
Reduced Import Dependency
- Domestic manufacturing of high-value electronics reduces reliance on imports, fostering economic resilience.
Global Competitiveness
- India’s growing prowess in IT hardware manufacturing strengthens its position in global markets, making it a reliable partner for supply chains worldwide.
Challenges and the Way Forward
While India’s progress in IT hardware manufacturing is commendable, challenges remain:
- Developing a robust supply chain for electronic components.
- Enhancing research and development capabilities.
- Strengthening the skilling ecosystem to meet industry demands.
The government’s focus on indigenous development, backed by initiatives like “One Nation One Subscription” and a ₹1 lakh crore corpus for sunrise technologies, aims to address these challenges and propel India’s electronics sector forward.
The IT hardware manufacturing sector is a cornerstone of India’s journey toward becoming a developed nation. Under the visionary leadership of Prime Minister Narendra Modi, initiatives like PLI 2.0 and investments in world-class infrastructure have laid a robust foundation. With Tamil Nadu and other states leading the charge, India is poised to become a global leader in IT hardware manufacturing, aligning perfectly with the Viksit Bharat mission and paving the way for a self-reliant, innovative, and prosperous future.
