India is aiming to build a $500 billion electronics industry by 2030, but can it move beyond basic assembly to true value creation?

At a recent industry conclave, speakers at the fifth edition of businessline MSME Growth Conclave on Thursday highlighted how MSMEs could play a crucial role in transforming India’s electronics ecosystem—from vendors to innovators. While manufacturing has expanded rapidly, value addition remains low, with a heavy reliance on imported components, especially from China.

Industry leaders point out that India cannot replicate China’s scale-driven model. Instead, the focus must shift to design, intellectual property, innovation, and skills development. With exports rising and domestic demand surging—across telecom, automotive electronics, defence, and appliances—the opportunity is significant.

However, challenges remain. Experts warn of skill shortages, low labour productivity, and a weak domestic component ecosystem. To close the gap, India may need to upskill millions of workers and strengthen its MSME base to drive deeper manufacturing capabilities.

Can India move from “Make in India” to “Design and Build in India”? And will MSMEs lead this shift?

Watch to find out.

Published on June 27, 2026