PLI scheme push: Electronics is India’s fastest-growing export

Source: The post is based on the article “PLI scheme push: Electronics is India’s fastest-growing export” published in Business Standard on 16th March 2023

What is the News?

The Electronics sector has become India’s fastest-growing export for the 11-month period from April 2022 to February 2023.

About Electronics Exports Sector

Currently, India’s Electronics Exports were up 61.57% in rupee terms during the 2022-23 period. It has crossed the $20 billion mark.

India’s share of global exports has increased to approximately 1.8% in the current year from 1.2% last year. Among states, Karnataka led the electronics exports followed by Uttar Pradesh.

The big spurt in electronics is due to the growing share of mobile devices. These accounted for nearly 47% of the total electronics exports.

The government has an aggressive target for exports of electronics. It wants to reach exports of $120 billion by 2025-26, that’s around six times the current number.

What are the government initiatives to promote electronics exports?

The government has been providing various incentives to electronics manufacturers, such as production-linked incentives to encourage local production. 

The government’s efforts have led to an increase in domestic production of electronic items, which in turn has led to a reduction in the country’s dependence on imports.