India's electronics sector created 1.3M jobs in 5 years
What's the story
India's electronics industry, a key component of the Make-in-India initiative, has generated over 1.33 million jobs in the last five years. The surge is largely due to the production-linked incentive (PLI) scheme that has transformed smartphone manufacturing and increased exports nearly tenfold during this period. The India Cellular and Electronics Association (ICEA) revealed that around 400,000 of these jobs are direct ones at manufacturing sites, while some 930,000 indirect ones have been created across ancillary industries and logistics services.
Economic impact
Electronics industry contributes significantly to India's economy
The electronics industry has made a major contribution to India's economy. In FY25 alone, it paid around ₹25,000 crore in wages to blue-collar workers. The average salary for direct employees was ₹18,000 per month, while indirect ones earned ₹14,000. The sector's growth is also evident from the rise in mobile phone production from over ₹2.2 lakh crore in FY21 to over ₹5.45 lakh crore in FY25 and exports nearly tenfold during this period.
Gender inclusivity
PLI scheme has empowered women in electronics sector
The PLI scheme has been instrumental in empowering women in the electronics sector. According to ICEA, nearly 70% of the job additions under this scheme have gone to women and first-time workers. Foxconn's new iPhone factory near Bengaluru alone hired nearly 30,000 staff members, with a whopping 80% being women. This trend highlights how the industry is creating large-scale skilled jobs, especially for women.
Corporate contribution
Apple's role in India's electronics manufacturing growth
Apple and its contract manufacturers Foxconn, Pegatron, and Tata Electronics have played a major role in the growth of India's electronics manufacturing sector. After the launch of the PLI scheme, Apple has moved a large part of its production from China to India, with over 20% of iPhones now made here. The company has also replicated its Chinese model by building huge factories with boarding facilities on-site in India.
Future prospects
India poised to become 2nd largest mobile phone exporter
Thanks to the success of the PLI scheme, India is on track to become the world's second-largest mobile phone exporter by 2026. "Smartphones have risen to India's number 2 product category in FY25 from 167th position in FY2015," ICEA said. Pankaj Mohindroo, chairman of ICEA, said with continued policy stability and support, mobile manufacturing can further scale production, deepen domestic value addition, and generate millions of additional jobs in coming years.