₹13,700 cr push lifts mobile output to ₹9.34 trillion: Eco Survey

An investment of ₹13,759 crore under the incentive scheme to boost mobile phone manufacturing led to total production of ₹9.34 lakh crore and exports of ₹5.12 lakh crore until September 2025, the Economic Survey 2025-26 said on Thursday.

The Survey tabled in Parliament said that India's electronics sector has undergone a structural transformation in recent years, ascending from the seventh-largest export category in the financial year 2022 to the third-largest and fastest-growing in FY'25.

"Launched in April 2020, the scheme has generated a cumulative production of approximately ₹9.34 lakh crore, exports of ₹5.12 lakh crore and investment of ₹13,759 crore, as of September 2025," the Survey said.

In the financial year 2025, electronics production in the country grew by about 19 per cent to ₹11.3 lakh crore, export grew by 37.5 per cent to ₹3.3 lakh crore while imports grew 15 per cent to ₹8.4 lakh crore on a year-over-year (YoY) basis.

The Survey said that the growth momentum in electronics manufacturing continued into the first half of FY'26, with electronics exports reaching $22.2 billion, about ₹2.04 lakh crore, thereby positioning the sector on track to become the second-largest exported item.

"This growth is underpinned by a remarkable surge in domestic production and export volumes. Central to this expansion is the mobile manufacturing segment, which witnessed a nearly 30-fold increase in production value, rising from ₹18,000 crore in FY'15 to ₹5.45 lakh crore in FY'25," the Survey said.

It said that the production-linked incentive (PLI) schemes for IT hardware launched in May 2023 have realised a cumulative production of ₹14,462.7 crore and investments of ₹892.47 crore as of September 2025.

The Survey said countries are increasingly focusing on emerging strategic industries such as renewable energy, electric vehicles, critical minerals, semiconductors, and AI, which are viewed as critical for economic growth, national security and supremacy.

"Semiconductor supply chains are being restructured to ensure technological autonomy and independence," the survey said.

It said that the COVID-19 pandemic exposed the vulnerabilities in global semiconductor supply chains when shortages of chips impacted over 169 industries globally, causing price increases and production delays.

The survey said that Vietnam, Brazil, and Chile have been incentivising investment in research and development centres to attract investment into strategic sectors like artificial intelligence and semiconductors.

"The absence of a steady supply of semiconductors is likely to hamper economic activities across sectors. Reliance on a handful of suppliers for semiconductors is an added risk.

"The India Semiconductor Mission (ISM), launched in 2021 aims to build domestic capacity across design, manufacturing, and innovation in semiconductors and is a first step towards self-sufficiency and technological sovereignty," the survey said.

The survey emphasised on the importance of semiconductor development and production locally to support production of high-tech products in the country and reduce dependency on imports.

As of August 2025, 10 semiconductor manufacturing and packaging projects have been approved in the country with a cumulative investment of around ₹1.6 lakh crore in six states.

"As execution accelerates and capacity expands, these measures are expected to strengthen domestic semiconductor capabilities, enhance the resilience of critical supply chains and position India as a significant participant in the global semiconductor marketplace," the Survey said.