India’s road towards becoming ‘Viksit Bharat’, which may be attained by accelerating ‘Make in India’ with the involvement of Global Value Chains (GVCs), will be greatly aided by the manufacturing sector, lead by electronics, according to NITI Aayog on Wednesday.
From this vantage point, NITI Aayog is about to publish an extensive study on the topic that offers a road map for the nation to develop into a global leader in electronics production.
The paper lays out the plan for the nation to become a center for electronics production worldwide. Currently, GVC commodities make up 70% of international trade, underscoring the urgent need for India to increase its GVC participation.
“This can be accomplished by giving priority to industries that are important to the GVC landscape, like electronics, semiconductors, cars, chemicals, and pharmaceuticals,” NITI Aayog stated.
Since about 80% of electronics exports originate from GVCs, the electronics industry has a prominent position within GVCs.
India’s electronics industry reported a noteworthy value of exports in the fiscal year 2023, accounting for a sizeable portion of the country’s overall product exports at 5.32 percent. Currently, the final assembly of electronic items is the main focus of India’s electronics manufacturing industry.
“While brands and design firms have started increasingly outsourcing assembly, testing, and packaging tasks to Electronic Manufacturing Services (EMS) companies in India, the ecosystem for design and component manufacturing is at a nascent stage,” said the NITI Aayog.
