Supply chain for atmanirbhar bharat: Electronic industry

Abstract

Electronics manufacturing has grown leaps and bounds in the recent decade, with many MNCs and domestic companies setting up their units in the country to service the demand of a population of 1.3 Bn. Although the industry is growing, it cannot keep pace with the demand, and hence being forced to import 70% of its requirements of components and subparts. To reverse the trend, govt has introduced measures such as PLI, EMC, and SPECS that will provide a stimulus for the sector for localization of manufacturing operations. However, they prove to be slow and not holistic enough for push to the private entities. In the research and consequent report, we suggest several measures to fill the gaps, augment the supply chain and provide financial/non-financial support for domestic firms and those who shift their significant manufacturing to India. We benchmarked with global industry growth and the relevant policies and industry needs at the point in time to derive a set of suggestions in the Indian context. Through this, we conclude that with significant progress in the past, the positive economic outlook for Indian consumers, the domestic electronics value addition will improve significantly with the implementation of schemes and holistic suggestions taken into account.