Electronics export in India increased by 56% in Q1

Electronics grew the fastest among the top 30 exported items in the June quarter, moving up to become India’s fourth-largest export. Electronics exports increased by almost 56% between April and June, reaching Rs 57,220.24 crore as opposed to Rs 36,533.18 crore during the same time last year, according to the Ministry of Commerce and Industry.

According to a report, the only industry to see an increase in the top five export categories is electronics. Experts said, if the current trend continues, electronics could overtake gems and jewellery as the third-largest export category in the ensuing quarters. Electronics have passed the chemical and drugs, and pharmaceutical categories to become the fourth largest export category in Q1FY24, jumping from the sixth position.

In Q1, the electronics category caught up to the gems and jewellery exports, which were leading by Rs 4,660 crore. This is a significant decrease in the gap compared to a year ago when it was more than nine times higher at Rs 42,449 crore. The Electronics sector has shown rapid growth, as reported by ET.

Mobile phones, which have experienced remarkable growth since the implementation of the production-linked incentive (PLI) scheme in 2020, are at the forefront of the electronics industry’s boom. Mobile phones have made up 52% of India’s total electronics exports over the past 15 months, or Rs 30,000 crore, or the first quarter of the current fiscal. When compared to a year earlier, this represents a huge increase from the 38% contribution. With 35% of all exports of electronics and 66% of all mobile exports in FYQ1, Apple’s iPhones have dominated the export market.

India’s iPhone exports exceeded Rs 20,000 crore in the June quarter. In FY24, the third year of the PLI scheme for mobile phones, its three contract manufacturers, Foxconn Hon Hai, Wistron, and Pegatron, have pledged to export goods worth Rs 61,000 crore.