India's Electronics Component Manufacturing: A Golden Opportunity for MSMEs

The Indian electronics component manufacturing sector presents a substantial opportunity for MSMEs to thrive, according to IT Secretary S Krishnan. Emphasizing the significance of adopting technology and digital tools, Krishnan outlined the country's goals for value addition and highlighted India's successes in mobile manufacturing. He urged MSMEs to seize the moment and contribute meaningfully to this growing ecosystem.

Electronics component manufacturing in India presents a 'huge opportunity to succeed,' IT Secretary S Krishnan emphasized on Wednesday, at the CII MSME Growth Summit. He noted that the Ministry of Electronics and IT (Meity) aims to bolster the ecosystem for these components.

Krishnan encouraged MSMEs to take advantage of growth opportunities, adopt cutting-edge technology and digital tools, and transition into larger enterprises over time. 'You enter as a startup and try to exit within a reasonable time frame. We should not have 'intergenerational' MSMEs anymore in this country,' he remarked.

He stressed that India's ambition to become an electronics manufacturing hub is vital for employment, resilience, and exports. Despite significant progress in mobile phone manufacturing, Krishnan pointed out that only 18-20% of components add value domestically, urging efforts to raise this to 35-40% in the next 5 years. Industry 4.0 and AI were also deemed crucial for MSME success, alongside government initiatives to infuse tech.

(With inputs from agencies.)