Electronic Systems

Growth Drivers

  • Significant local demand.
  • Rising manufacturing costs in alternate markets.
  • 65% of the current demand for electronic products is met by imports.


  • Modified Special Incentive Package Scheme (MSIPS) (USD 13.4 Billion investment proposals till March 2014).
  • Electronics Manufacturing Clusters Scheme (EMC).
  • Skill Development Scheme.
  • Huge consumption in the Middle East and in emerging markets such as North Africa and Latin America.
  • Existing R&D capabilities can be encouraged to develop ‘Made in India’ products and generate local IP.


  • Karnataka (42.5 sq. km, near Bengaluru, a USD 17.6 Billion investment).
  • Telangana (202 sq. km, near Hyderabad, USD 36.4 Billion investment).
  • EMCs are being established across the country by GMR (near Bangalore), Telangana Government Corporation (near Hyderabad), Electronics Components Industries Association (near Delhi), MP State Electronics Development Corporation (Bhopal and Jabalpur); Kerala Industrial Infrastructural Development Corporation (near Kochi).
  • Semiconductor Wafer Fabrication (FAB) manufacturing facilities being set up in India in Uttar Pradesh and Gujarat with a total investment of USD 10.5 Billion.
  • Venture funds with a strong focus on electronics planned includes the Electronics Development Fund, Walden India Fund, KITVEN Fund and the SIDBI Fund.
  • Electronic Sector Skills Council and Telecom Sector Skills Council have been set up for establishing an effective and efficient ecosystem for developing and imparting outcome-oriented skills for the ESDM sector. A total of 90,000 people are to be supported under the Skill Development Scheme in six different states.

Reasons to Invest

  • Global demand to reach USD 94.2 Billion by 2015.
  • Large demand generated due to government schemes like the National Knowledge Network (NKN), National Optical Fibre Network (NOFN), tablets for the Education sector, a digitisation policy and various other broadband schemes.
  • Adequately developed Electronic Manufacturing Services (EMS) industry is set to be a significant contributor to the entire industry’s development.
  • India has the third largest pool of scientists and technicians in the world.
  • Skilled manpower available in abundance in Semiconductor Design and Embedded Software.
  • Strong design and R&D capabilities in auto electronics and industrial electronics.
Electronic Systems

Foreign investors