New Delhi, October 19 (SolSetu News) — India’s solar industry is entering a new phase of manufacturing self-reliance, with over 50 GW of annual module capacity commissioned or under construction. Analysts say this surge is transforming India from a solar importer to a competitive global exporter, reshaping supply chains across Asia.

🏭 A Manufacturing Boom Backed by Policy

The Production Linked Incentive (PLI) scheme has catalyzed large-scale investment in solar cell and module production. Companies like Adani Solar, Waaree, Vikram Solar, and Tata Power Solar have expanded lines, while new entrants such as ReNew Energy and Avaada are setting up fully integrated plants.

According to MNRE, India’s total domestic module manufacturing capacity jumped from 25 GW in FY23 to over 55 GW by mid-FY26, including backward integration into wafers and polysilicon by select players.

⚙️ Key Drivers of India’s Rise

• PLI incentives totaling ₹24,000 crore for integrated manufacturing.
• Import duties (BCD 40% on modules, 25% on cells) that encourage local production.
• Global demand for non-China sourcing alternatives amid supply chain diversification.
• Strategic tie-ups with international equipment suppliers for technology transfer.

🌍 Global Recognition and Exports

India’s solar exports surged by 175 % YoY in 2025, with the United States, Africa, and Southeast Asia becoming key destinations. Industry observers note that India’s new plants offer cost-competitive modules while ensuring supply stability outside Chinese control.

As per the International Renewable Energy Agency (IRENA), India could capture up to 10 % of the global solar supply chain by 2030 if current momentum continues.

💰 Investment and Employment

More than ₹75,000 crore has been committed in new solar manufacturing parks across Gujarat, Tamil Nadu, and Andhra Pradesh. These projects are expected to create over 90,000 direct and indirect jobs in manufacturing, logistics, and component supply chains.

🚧 Challenges Ahead

Despite the positive trend, challenges remain — notably access to high-purity polysilicon and capital intensity for setting up fully integrated gigafactories. Analysts emphasize the need for R&D investment and domestic equipment manufacturing to reduce import dependence for machinery.

☀️ A Strategic Shift for the Future

India’s manufacturing expansion aligns with its goal of 500 GW of renewable energy capacity by 2030. With clear policy support and global confidence, India is poised to become the “factory of the future” for solar technology, supplying not just domestic demand but the world.