India Electronic Chemicals & Materials Market: Industry Overview and Forecast 2025-2031

According to the TechSci Research report, India Electronic Chemicals & Materials Market – By Region, Competition, Forecast and Opportunities, 2021-2031, the market was valued at USD 1.72 billion in 2025 and is expected to grow at a CAGR of 4.56% during 2027–2031. The market’s growth is primarily fueled by government initiatives promoting electronics manufacturing and research in electronic chemicals and materials. These efforts have created a favorable environment for market expansion, enabling India to emerge as a key player in the global electronics ecosystem. The report emphasizes that these policies, combined with rising demand from the consumer electronics sector, are pivotal in shaping the market’s trajectory over the next decade.

Market Drivers

Government Initiatives and Policy Support

India’s government has consistently emphasized promoting domestic electronics manufacturing through robust policy support. Initiatives like the Modified Special Incentive Package Scheme (MSIPS) and Electronics Manufacturing Clusters (EMC) scheme are specifically designed to attract domestic and international investment. These programs provide financial incentives for setting up manufacturing units, research centers, and advanced technology facilities. By doing so, the government encourages innovation, facilitates technology transfer, and supports the creation of high-value jobs in the sector.

Additionally, India is strategically focusing on developing semiconductor fabrication facilities (fabs) and Assembly, Testing, Marking, and Packaging (ATMP) facilities. By attracting foreign expertise and investment, the country seeks to accelerate indigenous semiconductor capabilities, reduce dependency on imports, and secure a strong position in the global semiconductor supply chain. Such initiatives are expected to positively impact the demand for high-quality electronic chemicals and materials, which are essential in manufacturing semiconductors and advanced electronic components.

Rising Demand from Electronics Industry

One of the primary factors driving the India Electronic Chemicals & Materials Market is the increasing penetration of electronic devices across both consumer and industrial segments. The ever-growing demand for smartphones, laptops, tablets, wearable devices, and industrial electronics has significantly boosted production, which, in turn, fuels the requirement for electronic chemicals and materials.

Electronic chemicals and materials play a crucial role in the manufacturing process, providing the foundation for the performance, reliability, and durability of devices. High-purity silicon wafers, PCB laminates, wet chemicals, and other specialized materials ensure that modern electronic devices meet rigorous quality standards. With emerging technologies such as 5G, artificial intelligence (AI), Internet of Things (IoT), and autonomous vehicles, the complexity and sophistication of electronics are rapidly increasing, further driving the demand for advanced chemicals and materials.

The relentless pursuit of energy-efficient, high-performance, and sustainable electronics also contributes to the growing market demand. Manufacturers increasingly seek materials that enhance efficiency, reduce defects, and improve device longevity, making electronic chemicals and materials indispensable in the production chain.

Segmental Analysis: Ingredient Insights

The India Electronic Chemicals & Materials Market can be segmented based on type, application, regional distribution, and company presence. These segments provide a detailed understanding of the market structure and help identify growth opportunities.

By Type

• Silicon Wafers: Silicon wafers hold the largest share in the market and are fundamental to the semiconductor industry. With the rising adoption of AI, IoT, 5G technologies, and autonomous vehicles, the need for high-quality silicon wafers has escalated. These wafers form the core of advanced microelectronics, enabling the seamless integration of cutting-edge technologies into everyday devices.
  
  

• Wet Chemicals: Wet chemicals are extensively used in semiconductor fabrication and PCB manufacturing. They are essential for processes such as cleaning, etching, and developing circuits, ensuring accuracy and performance in electronic components.
  
  

• PCB Laminates: PCB laminates provide structural support and insulation for printed circuit boards, which are critical in nearly every electronic device. Their quality directly impacts device reliability and performance.
  
  

• Other Materials: This category includes specialty chemicals for coatings, adhesives, encapsulants, and electronic packaging solutions, enhancing device longevity, durability, and thermal management.
  
  

By Application

• Semiconductors & Integrated Circuits (ICs): The semiconductor sector is the largest consumer of electronic chemicals and materials. IC manufacturing requires precision materials to achieve high yields and maintain efficiency. With increasing domestic production and foreign investment in semiconductor fabs, demand for these materials is expected to grow steadily.
  
  

• Printed Circuit Boards (PCBs): PCBs are critical for electronic connectivity. Chemicals used in PCB production, including laminates, etching agents, and solder masks, directly affect the board’s quality and performance. The rise in consumer electronics and industrial automation fuels this segment’s growth.
  
  

Regional Insights

Among India’s regions, West India is projected to witness the fastest growth in the forecast period. The region’s growth can be attributed to:

• Make in India Campaign: This national initiative has significantly boosted manufacturing capabilities, creating an enabling environment for electronic chemicals and materials production.
  
  

• Targeted Government Incentives: Policies like MSIPS and EMC schemes have attracted investments by providing subsidies, tax relief, and infrastructure support.
  
  

• Industrial Cluster Development: The establishment of industrial clusters and research centers in West India facilitates efficient production, collaboration, and innovation.
  
  

The combined effect of these initiatives is expected to strengthen the region’s manufacturing ecosystem, enhance supply chain efficiency, and drive demand for electronic chemicals and materials across industries.

Competitive Landscape

The India Electronic Chemicals & Materials Market is highly competitive, with both domestic and multinational players actively enhancing their product portfolios and expanding capacities. Key market participants include:

• Maharishi Solar Technology (P) Limited
  
  

• BASF India Limited
  
  

• Ashland India Private Limited
  
  

• Merck Performance Materials Pvt. Ltd.
  
  

• SunEdison Energy India Pvt. Ltd.
  
  

• E.I. DuPont India Pvt. Ltd.
  
  

These companies focus on R&D, process optimization, and innovation, ensuring their products meet stringent industry standards. Strategic partnerships, collaborations, and capacity expansions are common strategies used to strengthen market presence and address the growing demand from semiconductor and electronics manufacturing sectors.

Market Outlook and Growth Opportunities

The India Electronic Chemicals & Materials Market is expected to grow steadily due to several favorable factors:

• Technological Advancements: Emerging technologies such as AI, 5G, IoT, and autonomous electronics will increase the requirement for high-performance materials.
  
  

• Policy Support: Government incentives, industrial clusters, and foreign investment programs create a conducive environment for market expansion.
  
  

• Increasing Domestic Production: The rise of local semiconductor fabs and electronic manufacturing units will further stimulate demand for materials.
  
  

Mr. Karan Chechi, Research Director at TechSci Research, stated, “Growing application of electronic chemicals & materials in various end-user industries are key drivers of the electronic chemicals & materials market. Growth in competitive landscape and presence of well-established companies in the market who are dedicated to enhance their productivity of electronic chemicals & materials with every passing year are anticipated to register an impressive growth to India Electronic Chemicals & Materials Market in the forecast period.”

Ingredient Insights: Type-Wise Analysis

The type of electronic chemicals and materials significantly influences market growth. Silicon wafers are crucial for next-generation semiconductors, enabling high-speed, energy-efficient, and reliable electronic devices. Wet chemicals and PCB laminates provide the precision and quality needed in complex circuit designs, while specialty coatings, adhesives, and encapsulants enhance thermal management, insulation, and device lifespan. Together, these materials form the backbone of India’s electronics manufacturing sector and support the country’s efforts to become a global semiconductor hub.

Contact Information:

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FAQ – India Electronic Chemicals & Materials Market

Q1: What is the projected CAGR of the India Electronic Chemicals & Materials Market?
A: According to TechSci Research, the market is expected to grow at a CAGR of 4.56% during 2027–2031.

Q2: Which type of electronic materials holds the largest market share?
A: Silicon wafers dominate the market, driven by high demand from semiconductor and IC manufacturing sectors.

Q3: Which region in India is expected to see the highest growth?
A: West India, supported by initiatives such as Make in India, MSIPS, and EMC schemes, is projected to experience the fastest growth.

Q4: Who are the key players in the market?
A: Leading companies include Maharishi Solar Technology (P) Limited, BASF India Limited, Ashland India Private Limited, Merck Performance Materials Pvt. Ltd., SunEdison Energy India Pvt. Ltd., and E.I. DuPont India Pvt. Ltd.

Q5: How do government initiatives impact the market?
A: Policies offering financial incentives, industrial clusters, and research support encourage domestic production, attract foreign investment, and drive demand for electronic chemicals and materials.

Conclusion

The India Electronic Chemicals & Materials Market is poised for strong growth over the next decade, underpinned by favorable government policies, rising demand from electronics and semiconductor sectors, and a competitive industrial landscape. With strategic investments in high-quality materials, R&D, and advanced manufacturing capabilities, the market is well-positioned to strengthen India’s role in the global electronics supply chain. Stakeholders and investors can leverage these insights to make informed decisions, driving long-term growth and innovation in the electronic chemicals and materials sector.