India, Aug. 14 -- The Government of India has issued a release:
Indicator
2014-15
2025-26
Growth
Production of electronics goods
~Rs 1.9 lakh crore
~Rs 13.11 lakh crore
7 times
Exports of electronics goods
~Rs 38,000 crore
~Rs 4.24 lakh crore
11 times
Mobile phone production
~Rs 18,000 crore
~Rs 6.27 lakh crore
33 times
Mobile phone exports
~Rs 1,500 crore
~Rs 2.59 lakh crore
165 times
As India celebrates its 80th Independence Day, the nation's manufacturing sector stands as a pillar of self-reliance and progress. Over the past 12 years, bold reforms under the Make in India vision have reshaped industries, positioning the country as a global hub. Defence equipment, textiles, pharmaceuticals, medical devices, and heavy machinery are now produced at world-class standards, serving both domestic and international markets. To further accelerate this momentum, the Government has introduced several initiatives like the Production Linked Incentive (PLI) scheme, PM GatiShakti, the National Logistics Policy, BHAVYA, and programmes for the electronics and MSME sectors.
The manufacturing sector now contributes about 16-17 percent of GDP and employs over 27 million workers. The compounded annual growth rate (CAGR) of Manufacturing GVA at constant prices (2022-23 base) as per the revised series during 2022-23 to 2025-26 is 10.88%. Merchandise exports in July 2026 reached USD 44.24 billion, compared to USD 36.98 billion a year earlier, while manufacturing output grew 7.8 percent in June 2026. These indicators show manufacturing as a central driver of India's economic growth.
India's defence industry has undergone a remarkable transformation in the past decade. Focused policies, targeted investments, and a strong push for self-reliance have turned the country into a significant producer and exporter of defence equipment.
India has rapidly evolved into a major centre for electronics production, achieving exceptional growth in both output and exports. Successive policies like the National Policy on Electronics, SPECS, EMC 2.0, and PLI have reshaped electronics manufacturing. Schemes such as Electronics Components Manufacturing Scheme (ECMS) further strengthened India's Electronics System Design and Manufacturing (ESDM) ecosystem, driving growth and competitiveness. Electronics production rose from Rs.11.32 lakh crore in FY 2024-25 to Rs.13.11 lakh crore in FY 2025-26, a 15.8% year-on-year increase.
Semicon Manufacturing
India's emergence as a semiconductor destination has been built on sustained reforms across the electronics sector. The Semicon India Programme (Semicon 1.0) was approved in December 2021 with an outlay of Rs.76,000 crore. It was launched to build a domestic semiconductor and display manufacturing ecosystem. Building on it, Semicon 2.0 has been approved in July, 2026 with a total budget outlay of Rs.1,27,500 crore.
Progress Under Semicon India Programme 1.0
As of July 2026, twelve manufacturing units have been approved with investments exceeding Rs.1.64 lakh crore. These include one silicon fab, one silicon carbide fab, an integrated Gallium Nitride Micro LED display fab, and nine packaging units. Together, they are expected to meet chip requirements across consumer appliances, industrial electronics, automobiles, power electronics, telecommunications, and aerospace.
Out of the twelve approved proposals, three companies, Micron, Kaynes, and CG Semi have already started commercial production. One more company is expected to begin operations in 2026, further strengthening India's semiconductor manufacturing base.
India's Mobile Manufacturing Rise
India's mobile manufacturing sector has grown rapidly, strengthening domestic production, exports and value addition.
Mobile Phone Manufacturing Scheme:
This scheme was approved on July 15, 2026, with a Rs.62,500 crore budget. It focusses on boosting production, domestic value addition, supply chain resilience and global competitiveness. The five-year scheme will run from FY 2026-27 to FY 2030-31. Incentives range from 2.25% to 5%, with additional support for local sourcing, Indian brands, design and R&D.
India ranks 3rd in volume and 11th in value in the global pharmaceutical industry. It plays a crucial role in ensuring affordable healthcare worldwide by supplying 20% of the world's generic medicines and a large share of vaccines. Steady growth in production, exports, and domestic innovation has reinforced its position as a trusted global supplier.
India's textile and apparel industry is one of its most important manufacturing sectors. It is the second-largest employer after agriculture, providing livelihoods to over 45 million people and supporting MSME-led industrial development.
Several initiatives in the maritime sector have been introduced to strengthen domestic manufacturing and enhance India's competitiveness globally.
In September, 2025, a comprehensive package of Rs.69,725 crore was announced to strengthen domestic shipbuilding capacity, maritime financing and skilling. It has the following three components:
Shipbuilding Development Scheme (SbDS)
Maritime Development Fund
Shipbuilding Financial Assistance Scheme (SBFAS)
Container Manufacturing Assistance Scheme (CMAS)
CMAS was announced in the Union Budget 2026-27 to expand domestic container manufacturing capacity and strengthen India's position in global container supply chains.
India has a strong automobile industry, supported by extensive manufacturing capabilities and a large auto-component ecosystem. It is the world's largest market for two-wheelers and three-wheelers, and the third-largest for passenger and commercial vehicles globally. The sector is also advancing electric mobility, supported by rising EV adoption and government initiatives.
India's solar PV manufacturing sector has expanded rapidly, strengthening domestic production of solar cells and modules. The domestic PV market is valued at around Rs.32,400 crore and is expected to grow strongly through 2030.
India's manufacturing sector today reflects steady progress, deepening capability and growing confidence across industry. Sustained policy support and rising private participation continue to strengthen this foundation year after year. As new capacities mature, the sector is well placed to expand its global role. The coming years promise wider opportunity, greater value creation and a stronger self-reliant economy.
Ministry of Commerce & Industry:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2230621®3&lang1
Ministry of Statistics & Programme Implementation:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2298236®48&lang2
Ministry of Electronics & IT:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2291171®48&lang2
Union Cabinet:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2284789®48&lang1
Ministry of Chemicals and Fertilizers:Department of Pharmaceuticals:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2244474®3&lang1
https://www.pib.gov.in/PressReleasePage.aspx?PRID2286949®48&lang1
Ministry of Ports, Shipping and Waterways:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2294248®48&lang1
https://www.pib.gov.in/PressReleasePage.aspx?PRID2288924®48&lang2
https://www.pib.gov.in/PressReleasePage.aspx?PRID2209139®3&lang2
Ministry of Textiles:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2286960®48&lang2
Ministry of Statistics & Programme Implementation:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2290419®48&lang2
https://www.pib.gov.in/PressReleasePage.aspx?PRID2298236®48&lang2
Ministry of Heavy Industries:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2298052®48&lang2
NITI Aayog:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2298965®48&lang1
Press Information Bureau:
https://www.pib.gov.in/PressReleasePage.aspx?PRID2278107®48&lang2
https://www.pib.gov.in/PressReleasePage.aspx?PRID2234442®3&lang2
https://www.pib.gov.in/PressReleasePage.aspx?PRID2273854®48&lang2
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Disclaimer: Curated by HT Syndication.
