Indian LED Lighting Industry: Poised For Growth

The Indian LED lighting industry is expected to grow tremendously, even over the long term, on account of the demand for a smart, connected lifestyle and for energy-efficient products.

- Sudeshna Das

The lighting market in India is evolving rapidly, moving from using conventional products to LEDs. This transition is driven by an increasing number of government initiatives for energy conservation, rising consumer awareness about energy-efficient products, and innovative products offered by the industry that are in sync with the overall trend of digitisation. This evolution indicates a tectonic shift in technology from electrical to electronics. In turn, this may represent a significant growth opportunity for companies offering electronic hardware/components and solutions used in LED lighting. This move to LEDs will also benefit prototype designers, electronics manufacturing services (EMS) providers and original equipment manufacturers (OEMs).

In this report, we try to provide insights about India’s LED lighting ecosystem, focusing primarily on market size, opportunities, major demand generating applications, hindrances that impact growth, emerging technology trends and the impact of the Goods and Services Tax (GST).

Market at a glance

India, being the second most populous country in the world and fifth major electricity consumer, has been experiencing an ever-widening demand-supply gap in electricity. Consequently, the market for energy efficient products such as LED lights is bound to grow. All the survey participants felt that the moderately-growing lighting industry will now move at a faster pace, as the government is encouraging the use of LED lights in a big way. Other drivers are the Smart Cities project, and the increasing demand for a smart, connected lifestyle and energy-efficiency measures.

Methodology

Inputs from eight senior industry experts and members from across India’s LED lighting ecosystem were taken for this report. The experts are from:

• Large scale LED lighting companies/OEMs

• SME LED lighting companies/OEMs