India’s exports of Electronic Goods- Recent Trends

India’s exports of electronic goods reached to USD 1.67 Billion in December 2021. It registered a growth of 33.99%, as compared to export of USD 1.25 Bn in December 2020.

Key Points

• During April-December 2021, electronic sector registered a exports growth of 49%, reaching to USD 11.0 Billion against USD 7.4 Billion during in year 2020.
• Against USD 8.8 billion export in April-December 2019 and USD 4.8 Billion in April-December 2014, exports of Electronic Goods witnessed a growth of 26% and 131% respectively.

Top 5 export destinations

In April-November 2021, top 5 export destination with their there are:

1. USA (18%)
2. UAE (16.6%)
3. China (7.6%)
4. Netherland (4.5%) and
5. Germany (4.2%).

Major chunk of electronics export

Mobile phones hold a major chunk of India’s Electronics Goods sector exports. The sector includes IT Hardware like laptops & tablets; Industrial electronics, Consumer electronics like TV & audio, LED Lighting, Strategic electronics, Auto electronics, electronic components, Telecom equipment, wearables, and audio devices.

Overall exports in 2020-21

Overall exports of electronics goods in financial year 2020-21 were USD 11.11 Billion. In first three quarter, exports of USD 11.0 Billion achieved.

Government’s steps to increase manufacturing and export

Government has taken several steps, which are expected to increase domestic manufacturing and export of Electronics Goods like mobile phones:

1. Production Linked Incentive Scheme (PLI) for Large Scale Electronics Manufacturing,
2. PLI for IT hardware
3. Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS)
4. Modified Electronics Manufacturing Clusters (EMC 2.0), in line with National Policy on Electronics, 2019. This move seeks to position India as a global hub in Electronics, System Design and Manufacturing (ESDM).
5. FDI of up to 100% under automatic route is permitted for electronics manufacturing.
6. Phased Manufacturing Programme (PMP)- It has been notified to promote domestic value addition in mobile phones and their parts or sub-assemblies manufacturing.

Month: Current Affairs - January, 2022

Category: Economy & Banking Current Affairs