New Delhi, May 11 (KNN) Electronics Sector Skills Council of India (ESSCI) has revealed in it their latest study that the Electronics Manufacturing Services (EMS) sector in India will provide employment to more than 60 lakh (6 million) people by the end of 2025-26.

The council has conducted a comprehensive skill gap study in India’s EMS sector which highlights the growing demand for skilled professionals in the industry and projects the sector's growth to cross USD 215 billion by FY26.

The EMS sector currently employs around 12 lakh people in India, with an employee base that has grown at a CAGR of more than 45 per cent during 2016-2022.

“Further this sector will continue to grow at the same rate, with a projected employment of more than 60 lakh (6 million) people by the end of 2025-26,” it said.

The study finds that nearly half of the EMS industry in India caters to mobile phones, while the rest of the industry primarily offers component manufacturing and sourcing, manufacturing/ assembling, and logistics services.

The rising cost structure of EMS in China, the geopolitical landscape, and disruptions caused by Covid-19 have spurred a shift in approach, with major global OEMs now seeking EMS partners in other geographies like India, Vietnam, Indonesia, and other South-East Asian countries.

As per report, Government schemes, such as the Production Linked Incentive (PLI) scheme for large scale electronics manufacturing, as well as for IT hardware and Modified Electronics Manufacturing Clusters Scheme (EMC 2.0), are expected to give a boost to the EMS sector in India.

The study predicts that the shift in approach will increase the growth of the EMS sector in India by opening up additional revenue streams and opportunities.

Consumer demand for electronics products in India, such as mobile phones, computers (desktops/laptops), and consumer durables, is expected to continue increasing due to the rise in disposable incomes, faster replacement cycles for products, and a work-from-home culture, leading to accelerated demand for computer and networking products.

The study also highlights the emerging job roles in the EMS sector in India, including Artificial Intelligence/Machine Learning, Robotics, Automation, Design, and Incoming Materials Inspector – Electronic Items. Jobs related to quality control and assembly line operations employ the most people in the EMS sector currently.

Commenting on the growth of the EMS sector, Amrit Manwani, Chairman, ESSCI said, “The growth potential for the EMS sector in India is immense, and we are pleased to see that major global OEMs are recognizing this potential. With the government schemes in place and the rise in consumer demand for electronics products, we are confident that the EMS sector in India will continue to flourish in the coming years.”

“We are committed to providing skill training to the youth, equipping them with the necessary tools and knowledge to excel in the rapidly growing EMS industry. Our goal is to ensure that they are well-prepared to take advantage of the emerging opportunities and contribute to the growth of this vital sector,” he added.

Dr Abhilasha Gaur, COO, ESSCI, further added, “The shift in approach towards the ODM model in India will not only increase the growth of the EMS sector but also open up additional revenue streams and opportunities. We are also excited about the emergence of new job roles in the sector such as Automation & Programming Engineer, In-process and Final Quality Engineer (PCB), Incoming QC Technician (PCB), and many more which will provide ample employment opportunities for the youth in India.”

“The skill gap study on the EMS sector in India underscores the potential of the industry to grow and create significant employment opportunities. We are confident that the results of the study will help guide policy makers and stakeholders in the industry to develop and implement effective strategies to address the skill gaps and propel the growth of the sector,” she said.   (KNN Bureau)