India's Electronics Manufacturing Industry Boosts Local Production with BIS Norms and Growing Demand for Niche Products

India is scaling up manufacturing of niche electronics, such as robotic vacuum cleaners, coffee makers, and air fryers, driven by the government's expanding list of electronic products under quality control orders (QCO) to control imports and promote local production. Companies like Dixon Technologies and Liebherr Appliances are setting up factories to comply with BIS norms, despite small market sizes, anticipating growth in demand.

India is scaling up manufacturing of specialized electronics, including robotic vacuum cleaners, coffee makers, and air fryers, driven by the government's expanding list of electronic products under quality control orders (QCO) [1]. The move aims to control imports and promote local production, with companies like Dixon Technologies and Liebherr Appliances setting up factories to comply with Bureau of Indian Standards (BIS) norms, despite small market sizes, anticipating growth in demand.

The shift is driven by the government's QCOs, which have been expanded to include more niche electronic products. These products, such as robotic vacuum cleaners and coffee makers, have traditionally been fully imported. The QCOs require factories to meet specific quality standards, encouraging domestic production.

Dixon Technologies, the largest home-grown electronics contract manufacturer, has signed an agreement with Eureka Forbes to manufacture robotic vacuum cleaners, a category with a market size of around Rs 700 crore [1]. Europe’s Liebherr has set up a plant for built-in refrigerators in Aurangabad, despite domestic annual sales of only 14,000-15,000 units. Liebherr expects the market to grow to 1 lakh units in five years, making a local plant a viable business case [1].

Crompton Greaves and Havells India are also prioritizing local sourcing to reduce import dependence. The implementation of QCOs has opened up more attractive categories, according to Ajay Singhania, MD of contract manufacturer Epack Durable [1]. The market opportunity for these categories is estimated to be more than Rs 12,000-13,000 crore [1].

The market for household vacuum cleaners, for instance, is projected to reach USD 42.5 billion by 2034, rising at a CAGR of 5% [2]. This growth is driven by increasing hygiene awareness and rising concerns over indoor air quality. The robotic segment of the vacuum cleaner market continues to gain traction, driven by demand for low-maintenance, automated cleaning solutions.

The government's push for local manufacturing is creating significant business opportunities for companies willing to invest in these niche categories. As the market for these products grows, companies that establish a presence early are likely to benefit from increased demand and reduced import lead times.

References:
[1] https://m.economictimes.com/industry/cons-products/electronics/make-more-in-india-india-switches-to-factory-settings-for-niche-electronics/articleshow/122410351.cms?UTM_Campaign=RSS_Feed&UTM_Medium=Referral&UTM_Source=Google_Newsstand
[2] https://www.globenewswire.com/news-release/2025/07/11/3113844/28124/en/Household-Vacuum-Cleaners-Market-Insights-Report-2025-Includes-Strategic-and-SWOT-Analysis-of-Key-Players-Dyson-Hoover-iRobot-Samsung-Electronics-SharkNinja-and-More.html