India's ₹11 Lakh Crore Electronics Growth: A Game Changer for Startups

Just over a decade ago, India’s electronics manufacturing scene was still finding its feet—dependent on imports, with limited design capabilities, and a relatively small role in the global supply chain. Fast forward to today, and the transformation is nothing short of a revolution.

In a world that is rapidly going digital, India is not just keeping up—it’s surging ahead. The country’s electronics manufacturing sector has seen a fivefold rise over the past 10 years, touching a whopping ₹11 lakh crore. And the numbers for exports? They’re even more impressive—growing six times over to exceed ₹3.25 lakh crore.

So, what’s fuelling this growth? At the center of it is the ‘Make in India’ movement, a vision turned into reality by the government’s push for self-reliance and innovation.

India's Electronic Growth

At a recent industry interaction, Union Minister for Electronics and IT, Ashwini Vaishnaw, spoke about this massive leap and the ecosystem that’s enabling it.

“We are witnessing a big jump, a very big growth in electronics manufacturing and exports thanks to the Make in India programme launched by our Prime Minister Narendra Modi,” he stated.

The numbers, of course, speak volumes. But what's more inspiring is the silent army behind this change—India’s young tech talent.

From bustling cities to smaller towns, young engineers, many straight out of college, are now working on high-end machines and contributing to the design and manufacturing of advanced electronic products. According to Vaishnaw, nearly 25 lakh people are currently employed in this sector. That’s not just a statistic; that’s a reflection of India’s changing industrial narrative.

Design in India: The Game Changer

One of the most interesting—and perhaps lesser-known—developments is the shift from just "Make in India" to also "Design in India".

Vaishnaw pointed out that some electronics manufacturing facilities in India now house design teams as large as 5,000 engineers. These aren't just assembling parts—they’re designing some of the most complex electronics systems in the world, many with embedded AI capabilities.

This is a significant departure from the past. Traditionally, high-tech design work was outsourced to countries with niche expertise. But now, India is becoming the talent hub for designing next-gen products.

“In the last few years, we’ve moved from legacy systems to cutting-edge, AI-enabled design work. This gives us an edge over countries that do not have such a deep pool of design talent,” Vaishnaw added.

Completing the Puzzle: From Semiconductors to Components

India’s ambitions don’t stop at assembling or designing electronics. It’s now looking to deepen the roots of this ecosystem.

To further boost the sector, the government has greenlit an Electronics Component Manufacturing Scheme. This, the minister said, will complement India’s ongoing semiconductor program.

The idea is simple yet powerful:

• Active components (like chips and processors) are being taken care of under the semiconductor mission.

• Passive components (like resistors, capacitors, inductors) will now be covered under the new scheme.

“Together, these two schemes will complete the entire bouquet for deepening and widening the electronics manufacturing ecosystem in India,” Vaishnaw explained.

This is a crucial move. Because for India to truly become a global electronics powerhouse, it can’t just rely on assembling imported parts—it needs to make and design every single component of the supply chain.

What This Means for Startups

This booming sector opens massive opportunities for Indian startups. From building components and testing tools to creating smart, AI-powered gadgets—there’s a wide-open runway for innovation.

Already, several startups are entering the fray—working on electronic design automation (EDA) tools, chip design, consumer electronics, and even IoT devices tailored for Indian needs. The supportive policy environment and investor interest are acting as strong tailwinds.

And with the government betting big on India’s design talent and encouraging local manufacturing, startups now have the backing of both the market and the system.

India is no longer content with being the world's back office or just a market for global tech products. It is now becoming a manufacturing and design powerhouse in its own right.

As Minister Vaishnaw rightly noted, “The ecosystem is ready. The talent is ready. And the time is now.”

Whether you're a policymaker, a startup founder, an investor, or a young engineer looking to make an impact—India's electronics story is the space to watch. It’s not just about chips and circuits anymore. It’s about vision, innovation, and the rise of a new digital Bharat.