Ever since the Modi government put electronics and semiconductors at the heart of India’s growth agenda, the industry has been experiencing a scale and seriousness we had long hoped for. For the first time, we are not just talking about potential; we are seeing decisive action, investment, and long-term vision coming together.
This shift is significant. For years, we operated without meaningful government backing, and post-WTO, our sector was nearly wiped out. But the last decade has reversed that trajectory. With targeted PLI schemes across multiple segments, India has scaled up rapidly and regained global credibility.
But the next leap is critical.
India now needs to move beyond EMS and position itself as a full-fledged product nation. Like Taiwan, our EMS companies must invest in R&D, evolve into ODMs, and eventually create strong Indian OEM brands.
That’s where real value addition lies, in deeper local supply chains, design capabilities, and homegrown IP.
The new Component PLI scheme is a powerful enabler, and I recall the Hon. Minister’s clear message during the launch- “Participants must invest in R&D to build long-term IP.”
JV structures can accelerate learning, but they can’t replace the need to build our own IP in parallel. That’s what will strengthen India’s long-term competitiveness.
In semiconductors, the government has made strong early moves by setting up fabs, ATMP units, and launching a solid Design-Linked Incentive (DLI) scheme that’s already supporting promising chip-design startups.
The next step is scale; we need many more fabless design companies, including those building fabs, so that India’s fabs ultimately produce Indian-designed chips. MeitY’s early investment in RISC-V laid the foundation, and now is the time to expand that work. Designing and owning our own chips will deepen the value chain and sharply reduce future royalty outflows.
The government has created an enabling ecosystem like never before. Now, it’s the industry’s turn to lead from the front by committing to IP creation, deeper R&D, and globally competitive product innovation.
That is the path to building a true Product Nation and ensuring India’s technology sovereignty for the future.
Narendra Modi Ashwini Vaishnaw The Quantum Insider Abhay Karandikar Jitin Prasada Piyush Goyal S Krishnan Ministry of Electronics and Information Technology Amitesh Kumar Sinha