Electronic Components to Surge 14-Fold to $130B by FY31

According to a report by Kotak Mutual Fund, India’s total electronics manufacturing is projected to experience a monumental expansion, reaching ₹41.40 lakh crore (US$ 433.43 billion) by FY31. Domestic electronic component production will serve as the primary catalyst, skyrocketing over 14-fold from ₹86,940 crore (US$ 10.5 billion) in FY24 to ₹12.42 lakh crore (US$ 129.90 billion) by FY31. While mobile phone manufacturing remains a major pillar—expected to grow from ₹4.22 lakh crore to ₹13.17 lakh crore—the steep trajectory in component manufacturing signals a strategic pivot toward deep localization, high-value assembly, and reduced reliance on import supply chains. The multi-year outlook highlights broad-based diversification across every key technology vertical. Substantial gains are forecasted for consumer electronics (rising to ₹2.98 lakh crore), IT hardware like laptops and tablets (reaching ₹2.65 lakh crore), and wearables (surging to ₹3.15 lakh crore). Crucial industrial segments are also scaling rapidly, with auto electronics expanding to ₹2.73 lakh crore and telecom equipment reaching ₹1.24 lakh crore by FY31. Ultimately, by generating over ₹11.55 lakh crore in incremental value through components alone, India is reinforcing its end-to-end capabilities across the value chain to solidify its position as a global electronics manufacturing hub.