India’s solar module manufacturing industry to see growth: CRISIL

India’s solar module manufacturing industry is poised for significant growth over the next five years, driven by domestic demand projected at 50-55 gigawatts (GW) annually from FY24 to FY30, according to a report by CRISIL. This growth will lead to oversupply, creating export opportunities starting from FY25. 

In FY24, India exported about seven GW of solar modules, which accounted for 50% of domestic production. However, by FY30, exports are expected to decline to 25-32% of total production due to increased local consumption.

On the import front, the reintroduction of the Approved List of Models and Manufacturers (ALMM) in FY25 and the expansion of nameplate capacity will reduce reliance on imports. 

Currently, 59% of solar modules are imported, but this is expected to fall by 5-10% by 2030. Despite this, India will still rely on imports for upstream components such as polysilicon, wafers, and cells due to limited integrated manufacturing capacity.