The Indian Electronics industry is being driven by macro factors such as growing middle-class population and rising disposable income. In addition, declining electronics prices and adoption of high-end technology devices is leading to an uptick in consumption of electronics devices.
Furthermore, technology transitions such as the rollout of 4G/ LTE networks and IoT are driving accelerated adoption of electronics products. Initiatives such as ‘Digital India’ and ‘Smart City’ projects have raised the demand for IoT in the market. Similarly, the digital banking sector like wallet players and payment banks will raise demand for POS and VSAT-enabled mobile ATMs, which will further give a fillip to the growing industry.
- One of the largest electronics markets in the world anticipated reaching $ 400 bn by 2025
- The Consumer Electronics and Appliances Industry in India is expected to become the fifth largest in the world by 2025.
- The electronics market is projected to grow at a CAGR of 17% during 2014-2020
100% FDI is allowed under the automatic route.
In case of electronics items for defence, FDI up to 49% is allowed under automatic route and beyond 49% through the government approval.
For further details, please refer FDI Policy