Srigee DLM Ltd. IPO

The CEA (Consumer Electronics and Appliances) sector in India has demonstrated robust growth in recent years, driven by increasing consumer awareness, higher disposable incomes, expanding middle-class population, and rapid technological advancements. With the increasing adoption of smart devices ... and a shrinking replacement cycle for consumer durables, both urban and rural markets have witnessed a surge in demand for appliances such as televisions, refrigerators, washing machines, air conditioners, LEDs, and other electronic products. The industry is expected to nearly double in value, from approximately US$ 9.84 billion in 2021 to over US$ 21.18 billion by 2025, positioning India as the fifth-largest consumer electronics and appliances market globally. A significant development within this sector is the growing prominence of the Original Design Manufacturer (ODM) model. ODMs are responsible for designing products based on brand specifications, sourcing components, overseeing manufacturing and assembly, and, in some cases, managing logistics and post-sales services. This model allows brands to reduce production costs, enhance time-to-market efficiency, and focus on marketing and distribution strategies. The Indian ODM market, estimated at INR 420 billion for FY25, is largely dominated by the television segment, followed by room air conditioners, washing machines, refrigerators, and small domestic appliances. The increasing global competitiveness of ODMs is attributed to their deep manufacturing expertise, cost-effectiveness, and integration within global value chains. The industry’s expansion is significantly supported by the Indian government through initiatives such as the ‘Make in India’ campaign and various Production-Linked Incentive (PLI) schemes. These policies aim to boost domestic manufacturing capabilities, attract foreign investment, and reduce dependency on imports by promoting self-reliance in critical electronic components. Additional support measures include fiscal incentives, infrastructure development, and efforts to establish electronics manufacturing clusters across the country. India’s electronics production ambitions are substantial, with a target of reaching US$ 500 billion by 2030 and electronics exports worth US$ 120 billion by FY26. To support these goals, substantial investments have been made in R&D, semiconductor development, and skill enhancement, with the government also promoting employment generation and innovation in the sector. Read more