Is India Technologically Advanced? A Close Look at Electronics Manufacturing

India’s streets buzz with smartphones made at home. Five years ago, hardly anyone trusted a “Made in India” tag for electronics. Now, even brands like Apple and Samsung have factories here—and not just for stickers. Real assembly, real supply chains, billions invested. It’s not hype; mobile exports from India exploded by a wild 98% in just one year (2023-24).

If you’re eyeing electronics manufacturing, India isn’t just playing catch-up anymore. Companies are plugging into local talent and a government that’s hungry to hand out incentives and cut red tape. Suppliers, engineers, and even big investors find it easier to set up shop than before. Want to know what’s actually working (and what’s not), who’s making waves, and how to spot the gaps? Buckle up—it's not the old India story you might expect.

• How Far Has India Come in Tech?
• The Electronics Manufacturing Boom
• Government Push: More Than Just Jargon
• Real Challenges on the Ground
• Success Stories: Who’s Leading the Pack?
• What’s Next for India’s Electronics Game?

How Far Has India Come in Tech?

Just a decade ago, saying India was serious about technology meant talking mostly about IT services. Fast forward, and things have shifted. India now has over 1.2 billion mobile phone connections. The country jumped from being a net electronics importer to the world’s second-biggest mobile phone manufacturer, right behind China. That’s not a small leap.

Major factories are popping up—not only churning out products for Indian users, but also for countries across Europe and Africa. In 2023 alone, Indian factories exported over $15 billion worth of mobile phones. Turns out, making in India is starting to mean 'made well in India.'

A good chunk of this change comes from foreign direct investment and big name partnerships. Just check out companies like Foxconn, Wistron, and Pegatron, which all set up large plants in states like Tamil Nadu and Karnataka. Even Apple now ships the latest iPhone models made right here—sometimes before other Asian countries get their hands on them.

Here’s a snapshot of India’s push in electronics manufacturing:

If you think it’s just politicians blowing smoke, listen to what Satya Nadella, CEO of Microsoft, had to say at a recent summit:

India has moved from being a consumer of technology to a key global supplier, especially in electronics and manufacturing. The pace is impressive.

For anyone in or eyeing the electronics manufacturing India scene, these numbers aren’t just stats—they’re a wake-up call. India is way past call centers now. The action is on the factory floor.

The Electronics Manufacturing Boom

Walk through Noida, Bengaluru, or Chennai and you’ll spot giant factories with familiar brands—Apple, Xiaomi, Samsung, Foxconn—all cranking out devices meant for both local sale and export. This wasn’t the scene even ten years ago, but in the last five years, electronics manufacturing has seriously blown up in India. And it’s not just phones. TVs, laptops, wearables, and even semiconductor assembly lines are popping up.

The numbers paint the whole picture. In the financial year 2023-24, India’s electronics exports touched about $29 billion, according to the Ministry of Commerce. Mobile phone exports alone shot past $15 billion, which put India on the map as the world’s second-largest mobile phone producer by volume. Not bad for a country that used to import almost everything.

What’s fueling this sudden India surge? A few things stand out:

• Huge government incentives (Production Linked Incentive schemes) paying factories for every phone, laptop, or component they ship from Indian soil.
• Major multinationals looking for alternatives to China, especially after 2022’s global supply chain chaos—India landed right in their sights.
• A booming local demand: Over a billion people want smartphones, TVs, and smartwatches. Why ship from abroad?

Companies aren’t just setting up assembly lines—they’re recruiting, training, and building supplier ecosystems from scratch. Brands like Dixon, Lava, and Optiemus, once unknown outside India, now bag million-dollar orders from big global players. Even homegrown startups have started building things like PCB assemblies and chargers at scale, trying to ride the technology and electronics manufacturing wave.

Here’s the kicker: This momentum isn’t slowing down. The government has made it clear—by 2026, India wants to export over $120 billion worth of electronics. So if you’re evaluating the electronics manufacturing India scene, keep your eye on these stats. The “boom” isn’t just a word, it’s showing up on balance sheets and in factory shifts every single day.

Government Push: More Than Just Jargon

It’s easy to roll your eyes at government announcements—lots of loud headlines but little real change, right? But in the case of India, the tech game plan is actually moving the needle for electronics manufacturing. The government’s not just talking; it’s writing big checks, rolling out new policies, and nudging huge brands to set up shop in India.

Take the Production Linked Incentive (PLI) scheme. Launched in 2020, this program hands out cash rewards to companies who manufacture more and move faster in key sectors, with electronics manufacturing as one of the hottest picks. Because of PLI, companies like Foxconn, Wistron, and Dixon have scaled up local assembly lines, creating hundreds of thousands of jobs—and all of this helps India shed its old “just an importer” tag.

The buzz doesn’t stop at PLI. The government set up a duty structure that favors building gadgets at home: imports of ready-made phones and gadgets get taxed more, while components and raw materials come in cheaper. That’s a nudge to local factories that actually works. India’s also sped up clearances, sliced some red tape, and launched special clusters—think of them as neighborhoods designed just for tech factories.

• The PLI scheme covers more than 16 product categories, with a heavy push on smartphones and component manufacturing.
• Companies get up to 6% cashback on increased sales of locally made goods—yeah, real money back, not just a pat on the back.
• States like Uttar Pradesh and Tamil Nadu are flexing their own incentive programs, fighting to bring in big electronics investment.

Want numbers? Here’s a snapshot showing how strong these policies are making India in the electronics world:

These programs might sound like policy speak, but on the ground, they’re packing a punch. If you’re eyeing a move into electronics manufacturing India, ignoring these government plays isn’t just a miss—it means leaving money on the table.

Real Challenges on the Ground

Let’s not pretend it’s all smooth sailing. Even with the “Make in India” hype and the government’s solid cash incentives, real issues slow down India’s electronics manufacturing sprint.

First up—supply chains. India still imports most key components, like semiconductors and high-end display parts. There’s some movement to build local fabs, but none are running at scale yet. Ever wondered why your phone takes weeks to get repaired? Parts travel halfway around the world before landing at Indian shops.

Next, infrastructure can be a headache. Frequent power cuts in factories, patchy roads, and clogged ports hike up logistics costs. A 2024 industry report found electronics companies in India were losing about 6% of their revenue just to supply chain inefficiencies and delays. Check out how things stack up:

Skilled labor is another sticking point. Sure, there’s a huge workforce, but many get trained on the job. Actual hands-on experience in things like printed circuit board assembly or semiconductor packaging? Still rare. That makes quality unpredictable, and factories have to invest in ongoing training just to keep up.

Paperwork hasn’t completely disappeared either. While it’s way better than a decade ago, customs and local taxes can still get tangled. A lot of new companies hire legal teams just to navigate state-level differences and keep the licenses flowing.

• If you’re planning to set up shop here: build in extra time for sourcing components.
• Look for special economic zones—they’re less red tape-heavy.
• Factor in extra costs for backup power and logistics when crunching numbers.

India is getting there fast, but the rough edges are real. The payoff is huge if you can work around the bumps, but don’t expect a frictionless ride—yet.

Success Stories: Who’s Leading the Pack?

India’s electronics manufacturing scene isn’t just headlines. Real companies are making it happen, and some names now pop up in global supply chain meetings. Look at Apple. In 2023, more than 14% of iPhones came off Indian plants, especially from Foxconn and Tata’s units in Tamil Nadu. This isn’t token assembly—Apple exported iPhones worth over $10 billion from India in one year.

Samsung hasn’t been left behind. Their Noida facility is the world’s largest mobile phone factory. They churn out millions of smartphones every month, serving both Indian and global markets. Then there’s Dixon Technologies and Bharat FIH. These firms aren’t only assembling for big brands—they’re designing and making their own parts, too.

Dixon partners with brands like Xiaomi and Panasonic, and in 2024, they crossed the $1 billion mark in annual revenue. Lava, an Indian brand, turned the tables by designing its own chipsets locally, cutting the need for imports by almost 20%.

It’s not just multinationals. Startups like boAt and Noise shook up the wearable market with “Made in India” smartwatches and headphones, hitting huge sales numbers online. These brands show that India can innovate too—not just assemble for others.

The message? India’s technology and electronics manufacturing isn’t a backroom operation anymore. The biggest names in the business are building here—and homegrown players are starting to dominate their own turf.

What’s Next for India’s Electronics Game?

The next few years are already mapped out with big plans. India wants much more than just being a huge mobile phone factory. The government’s Production Linked Incentive (PLI) schemes are pushing both local and global players to build everything—from chips and smartwatches to complex telecom gear—right on home turf. If India plays its cards right, experts expect it to snag a chunk of global electronics exports, shooting for $120 billion by 2026.

Everyone’s watching chip manufacturing. Until now, chip imports have been a weak spot. But big investments are coming. Look at the $2.75 billion Micron chip assembly plant coming up in Gujarat—set to crank out memory chips by 2025. If that kicks off well, India could attract other chip giants, finally reducing the dependency on imports from places like Taiwan and China.

There’s a strong nudge towards technology learning too. Engineering colleges are teaming up with electronics brands for hands-on training—so the talent pool isn’t just big, but well-trained. More Indian companies are dipping their toes in design, R&D, and even creating their own patents instead of just assembling boxes for someone else.

Of course, energy, logistics, and compliance are still headaches. But leaders are talking bluntly about fixing these gaps. There’s a push for renewable energy in factories and digital systems to cut paperwork. Clever startups are jumping into supply chain tech and automation to help big brands cut costs.

If you’re scouting for investment or partnership, here’s where to watch:

• Semiconductor and chip supply chain (manufacturing and packaging)
• Innovation in consumer electronics (wearables, IoT, smart appliances)
• Factory automation and supply chain tech
• Local component ecosystems—capacitors, resistors, displays, and batteries

Electronics manufacturing in India is way past the “maybe” stage. If the pace keeps up and the red tape stays out of the way, India’s tech game could look totally different by the end of the decade.

About author Aarav Tandon

I am a manufacturing engineer specializing in streamlining production processes and reducing waste. I have a keen interest in exploring the manufacturing landscape in India and often write about innovative practices in this sector. My work involves collaborating with a diverse team to optimize efficiency and implement sustainable practices. I enjoy sharing insights and stories from the field with a wider audience through my writing.