India can generate a manufacturing value of $100 billion by 2025 of the electronic devices in the nation in the next five years which can contribute 18% to global exports of these devices, which can also create 5 lakh jobs, contribute 1.26% to the GDP, help to reach the inflow of foreign exchange to $75 billion and an investment of over $1 billion, as per mentioned in the new report by ICEA (India Cellular & Electronics Association, on 18th November,2020)
Likewise, boosting export-oriented local manufacturing of electronic devices will automatically reduce the import from other countries like China, because India imports total 87% of laptops and 63% of tablets from China. Despite of the too much of demand in the market, India has abysmal growth in the computer hardware manufacturing.
“In absolute terms, India’s dependency on China is very high, it has increased from $2.83 billion to $3.65 billion during the last five years. For the year ending March 2021,” sain in a statement of ICEA.
As per estimates, the global market for laptops, tablets and desktop computers has grown from $229.38 billion in 2018 to $240.99 billion by 2025. Only 6 global players comprise 89% of the market shipments for laptops and 81% for tablets. The United States and European Union together represent more than 40% of the global market, reported as per economic times.
In comparison to imports, India’s exports have dropped. For example, India’s tablet exports have gone down from $0.06 billion to $0.024 in the last five year – “over a 50% drop!”
However, given the present geopolitical situation, India has a strong opportunity to become a significant part of the global supply chain in electronics. India has an opportunity to become the hub for laptops and tablets by capturing 18% of the global exports, said by ICEA.
ICEA is an industry association representing mobile, electronics and component manufactures such as Apple, Xiaomi, Motorola, Nokia, Real Me, Oppo, Vivo, Lava, and many more.