Big growth expected in India’s electronics sector

Delhi: India’s electronics industry is on the verge of a transformational phase, as it targets USD 500 billion in manufacturing output by 2030, according to a TeamLease report. To achieve this target, the sector must expand fivefold in the next five years, bridging the USD 400 billion production gap. Currently, the industry’s domestic output is USD 101 billion, with mobile phones contributing 43 per cent. Other major contributors include consumer and industrial electronics (12 per cent each), electronic components (11 per cent), and emerging sectors such as auto electronics (8 per cent), LED lighting (3 per cent), wearables and hearables (1 per cent), and PCBA (1 per cent). This exceptional growth trajectory is estimated to create 12 million jobs by 2027, including 3 million direct and 9 million indirect roles. Direct employment opportunities will span nearly 1 million engineers, 2 million ITI-certified professionals, and 200,000 experts in high-demand areas such as artificial intelligence (AI), machine learning (ML) and data science.

Meanwhile, non-technical roles will account for the bulk of indirect employment opportunities, reflecting the sector’s potential to drive economic growth and create diverse career paths. Despite its promising outlook, the electronics sector faces a significant talent gap that could impede its progress. This challenge is not just about numbers; it involves a severe shortage of skilled professionals needed to achieve the sector’s ambitious manufacturing targets. Bridging this gap is critical to strengthen India’s position in the global electronics supply chain.

To address this issue, workforce skills must be aligned with industry needs, especially in high-demand areas such as semiconductors, electromechanical parts, and both passive and active components. The talent pool is expected to come from specialized areas such as electronics and electrical streams, ITI-certified professionals, and other technical domains, while general education streams can effectively support indirect roles.

AR Ramesh, CEO, TeamLease Degree Apprenticeships, highlighted the need for targeted skilling programmes, saying, “Increasing apprenticeship enrolments, which are currently growing at 55 per cent CAGR and are projected to reach 2 million apprentices by 2027 from 1 million apprentices, will help build a strong talent pipeline to meet industry needs.”