India's Electronic Landscape: A Boom and Transformation by 2028

India's electronic manufacturing industry is on the brink of remarkable growth, poised to achieve valuations of Rs 27.7 lakh crore by the financial year 2027-28, as highlighted by a report from Antique Stock Broking. Forecasts indicate a robust compound annual growth rate (CAGR) of 27% over the next five years, from FY23 to FY28.

The report reveals India's Electronics Manufacturing Services (EMS) sector is at an inflection point, driven by favorable government policies and burgeoning demand across multiple industries utilizing electronics. EMS firms have a significant opportunity to harness the growing domestic demand. Moreover, India is becoming a preferred alternative to China for global companies seeking cost-effective and dependable manufacturing partners.

The country's electronic market, combining domestic production and imports, is anticipated to expand at a 21.5% CAGR, reaching Rs 28.8 lakh crore by FY28, up from Rs 10.8 lakh crore in FY23. Meanwhile, India's electronic consumption market is projected to grow to Rs 17.9 lakh crore, with a CAGR of 14.6% from Rs 9.1 lakh crore in FY23. Exports are expected to soar with a 43.9% CAGR, touching Rs 10.8 lakh crore by FY28. Conversely, imports may shrink from Rs 2.4 lakh crore to Rs 1 lakh crore over FY24-28. India is recognized not just for cost-effective manufacturing but also for quality design services, drawing numerous multinational companies to set their operations on Indian soil.

(With inputs from agencies.)