India is finally shifting its electronics strategy from assembling finished gadgets to manufacturing the high-value components inside them. The government’s recent approval of Rs 5,532 crore under the first set of projects for the Electronics Components Manufacturing Scheme (ECMS) marks a significant move toward building a deeper and more resilient electronics supply chain.
Yet, the scale of the challenge remains large. India’s bare PCB requirement for FY24–25 was roughly $4.2 billion, and almost the entire demand was imported. This gap represents not only a vulnerability—but also a massive economic opportunity.
Why PCBs Matter
Printed Circuit Boards (PCBs) are the operational backbone of modern electronics. They are used across critical sectors: medical devices, automotive systems, computing, defence, telecom, and industrial machinery. Without a strong domestic PCB capacity, true electronics self-reliance is impossible.
India’s Current Push
Through Make in India, electronics-focused PLI schemes, SPECS, and the new ECMS, the government has created tailwinds for PCB manufacturing. Several states—including Tamil Nadu, Karnataka and Telangana—are complementing this with their own incentives, infrastructure support, and cluster development.Global dynamics further strengthen India’s position. US–China tech tensions, rising manufacturing costs in East Asia, and a PCB market expected to touch $100–120 billion by 2030 are pushing companies to diversify supply chains. India, with its scale, talent, and policy momentum, is well placed to capture a meaningful share of this shift.But to truly capitalise, India must go beyond existing schemes. Four capability gaps still require targeted intervention.
1. Close the Raw Material Gap
Limitation
Raw materials account for nearly 60% of PCB cost, with Copper Clad Laminate (CCL) contributing ~27%. While India is progressing toward full domestic CCL manufacturing, the ecosystem still depends heavily on imported copper foil, pre-pregs, and specialty chemicals. This keeps Indian PCB production costlier than global competitors.
Recommendation
With CCL becoming fully “Made in India,” the next priority must be localisation of copper foil and key chemicals. Targeted incentives, low-cost capital, and upstream manufacturing support will reduce input costs and make Indian PCBs globally competitive.
2. Invest in PCB-Focused R&D
Limitation
Advanced PCB fabrication—HDI boards, flexible PCBs, RF boards—requires precision engineering, specialized equipment, and sustained process R&D. India’s research investment in this domain remains limited, restricting the industry to basic multilayer boards.
Recommendation
Establish dedicated PCB R&D centres to strengthen design, automation, materials science, signal integrity, and high-complexity fabrication capabilities. This will help India climb the value chain and become a trusted supplier for global OEMs—not just a domestic producer.
3. Build a Skilled Technical Workforce
Limitation
PCB manufacturing is far more complex than device assembly. It requires skilled technicians and process engineers trained in optical alignment, chemical processing, multilayer registration, and advanced fabrication techniques. India’s talent pool in these areas remains thin.
Recommendation
Launch PCB-specific skilling programs, similar to the government’s EV-focused collaborations (e.g., with Shell India). These should include:
- dedicated training labs
- structured coursework in PCB fabrication
- industry-aligned certification programs
A trained workforce will unlock India’s potential to produce high-value PCBs at scale.
4. Strengthen Centre–State Coordination
Limitation
PCB expansion depends on both Central schemes (PLI, SPECS, ECMS) and state-level incentives. But these frameworks currently operate in parallel rather than in sync. Companies often struggle with:
- overlapping or contradictory policies
- inconsistent timelines
- varied compliance standards
This creates friction, delays investment, and leads to underutilization of incentives.
Recommendation
Create a Unified Centre–State PCB Facilitation Framework that integrates central and state incentives under a single-window mechanism. Key elements should include:
- joint task forces
- harmonised compliance processes
- coordinated infrastructure development
- predictable and fast incentive disbursal
- strong public–private partnerships
This will make India’s PCB sector easier to enter, scale, and operate within.
Conclusion: India’s Moment—If It Executes Well
India has emerged as a major electronics exporter, but its next leap must be manufacturing the high-value components inside those products. By closing gaps in raw materials, R&D, skills, and Centre–State coordination, India can build a world-class PCB ecosystem.
For investors, the opportunity is significant. PCB projects are capital-intensive and time-sensitive—those who build capacity on schedule will benefit most as India transitions from an assembly-led economy to a global hub for high-value electronic components.
(The author is founder & CEO, SAMCO Group)