iPhone Boom Powers India’s Electronics Exports to Record Highs
India’s electronics exports are on an impressive upward trajectory, showcasing significant growth driven largely by the iPhone boom. According to recent data from the commerce ministry, electronics exports surged 42% in the first half of FY26, reaching $22.2 billion. This marks a notable increase from $15.6 billion in the same period last year, with Apple’s iPhones accounting for nearly half of this growth.
Key Insights on Electronics Exports Growth
– Rapid Ascent: Electronics exports have rapidly moved up the ranks, becoming the third-largest overseas sales category in India.
– Ongoing Trends: Experts suggest that electronics could soon surpass petroleum products as the second-most shipped category after engineering goods, especially with U.S. restrictions on Indian refiners purchasing Russian crude oil.
– Historical Context:
– In FY22, electronics exports were ranked seventh. By FY25, they had dislodged gems, jewelry, and chemicals to secure the third position.
– The category’s rise reflects a 63% surge over the past three years, jumping from $23.5 billion in FY23 to $38.5 billion in FY25.
Economic Impacts of this Shift
– Petroleum Decline: In contrast, petroleum exports dropped 16.4% to $30.6 billion from $36.6 billion year-on-year.
– Engineering Dominance: Engineering products remain the frontrunners in exports at $59.3 billion, showing a modest growth of 5.35% from the previous year.
– Future Projections: Analysts predict that if the current trend continues, electronics exports could double between FY23 and FY26.
The iPhone boom is not just a driver of revenues; it’s poised to reshape India’s export landscape. With electronics potentially taking the lead over petroleum, the future looks bright for this crucial sector.