India’s PV Manufacturing & Its Strategic Inflection Points

The report, “India’s PV Manufacturing & Its Strategic Inflection Points,” was released on 9 January 2026, at the ITC Maurya, New Delhi. The launch took place between 6:30–7:00 PM as a cornerstone of the formal unveiling of India’s National Cleantech Manufacturing Implementation Plan during the Bharat Climate Forum 2026.

Key strategic insights from the report are outlined below:

• India has won the module battle—but could still lose the war upstream. At ~144 GW/year, domestic module lines now far exceed annual demand (~54 GWac). However, India still imports ~90% of its wafers and nearly 100% of its polysilicon. The report warns that without new wafer slicing and large-scale polysilicon projects before 2028, upstream deficits—rather than module capacity—may constrain India’s solar ambitions.
• Toolchains are emerging as the new chokepoint. Over 90% of high-end furnaces, PECVD/ALD tools, diamond-wire saws, and other critical equipment are currently imported, with limited domestic OEM presence for polysilicon and ingot lines. This exposes the sector to forex volatility, logistics disruptions, and geopolitical risk unless equipment-focused incentives and domestic R&D are accelerated.
• Affordable, blended capital will determine whether upstream fabs are built. The report highlights that sovereign “Green-PV” bonds, NIIF co-equity, concessional DFI debt, and risk-mitigation instruments could reduce borrowing costs to ~4–5%. This shift is essential for improving bankability and narrowing India’s cost gap with global competitors.
• ESG, circularity, and digital traceability are becoming prerequisites for export markets. With evolving compliance regimes—such as U.S. forced-labour checks, EU CBAM, and digital product-passport requirements—buyers are increasingly demanding batch-level provenance and low-carbon footprints. The findings suggest that early adoption of digital traceability tools and recycling targets can convert compliance into a competitive advantage for “Made-in-India” modules.
• Clusters, innovation pipelines, and skilled talent will differentiate leaders. The study recommends the development of Solar–Semicon Technology Parks, shared pilot fabs (TOPCon, HJT, tandem), and a PV–Semicon Skill Council. These initiatives aim to link PLI support to apprenticeship outcomes and a target of at least 30% women on the shop floor.

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