Investment of Rs 13,700 crore takes up mobile phone production of Rs 9.34 lakh crore: Economic Survey 2025

India's Electronics Sector Sees Significant Growth Under Investment Scheme

The Economic Survey 2025-26 has revealed that an investment of Rs 13,759 crore under the incentive scheme to boost mobile phone manufacturing has led to a total production of Rs 9.34 lakh crore and exports of Rs 5.12 lakh crore until September 2025.

Key Findings:

• Total production under the scheme: Rs 9.34 lakh crore
• Exports under the scheme: Rs 5.12 lakh crore
• Investment under the scheme: Rs 13,759 crore

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

Financial Year 2025 Performance:

• Electronics production growth: 19% (YoY)
• Export growth: 37.5% (YoY)
• Import growth: 15% (YoY)

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

Mobile Manufacturing Growth:

The mobile manufacturing segment witnessed a nearly 30-fold increase in production value, rising from Rs 18,000 crore in FY'15 to Rs 5.45 lakh crore in FY'25.

Production-Linked Incentive Schemes:

• Cumulative production: Rs 14,462.7 crore
• Investments: Rs 892.47 crore

Global Trends:

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.

India's Semiconductor Mission:

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.

Domestic Semiconductor Capacity:

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

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.

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