Tamil Nadu contributes to 32% of India's total electronics exports till Jan

Tamil Nadu has continued to consolidate its position as India’s leading exporter of electronic products with its value touching $7.37 billion, a whopping 32.52 per cent of India’s total export of electronic system design and manufacturing (ESDM) goods of $22.65 billion, from April to January during the current financial year (FY24).

According to industry experts, one of the major reasons for the rise in exports is the China-Plus-One strategy of global majors like Apple, following which its contractors like Foxconn and Pegatron and suppliers like Salcomp added to the rise of Tamil Nadu as the country’s electronic hub last year. Coined in 2013, China-Plus-One is a global business strategy in which companies avoid investing only in China and diversify their businesses to alternative destinations.

Compared to the export of electronic goods for the previous financial year (FY23), which was $ 5.37 billion, Tamil Nadu has already exported electronic goods worth $ 7.37 billion in just 10 months of FY24. The state’s export of electronic goods is expected to reach the $9 billion mark by the end of FY24.

“This achievement underscores the state's pivotal role in the national economy. Under the visionary leadership of M K Stalin, Tamil Nadu continues to shine as a prime destination for manufacturing and a hub for creating high-quality jobs for our youth. We are confident that we will keep the momentum going and set new records in our industrial journey,” said T R B Rajaa, Minister for Industries, Investment Promotion, and Commerce.

To tap this sector's immense potential and move up in the value chain, the “Tamil Nadu Semiconductor and Advanced Electronics Policy 2024” was unveiled at the Tamil Nadu Global Investors Meet held in January. The policy aims to accelerate growth in this sector and create a skilled talent pool of 200,000 people by 2030.

The state has been making rapid strides in all areas of industrial growth, primarily due to its connection with stakeholders. Its strengths include the finest human resources, a robust ecosystem in all sectors, and inclusive growth, a government statement said.

“Visionary leadership, pro-active governance, policy-driven approach, growth-oriented administration, excellence in manufacturing and precision engineering, and capabilities in handling high-end technologies are some of the key factors for Tamil Nadu to achieve the top slot in multiple sectors, especially electronic goods manufacturing, and exports – making the state the preferred investment destination for global conglomerates,” the statement said.