pv magazine: Given the fluctuations in silver and copper prices, and spike in freight and logistics costs due to the ongoing Middle East conflict, how has the PV module manufacturing business been impacted, both operationally and financially? What’s the impact on module manufacturing costs and gross margins?
Vinay Thadani: The commodity environment has certainly been dynamic. Silver prices have moved up significantly over the past year, copper has seen a notable rise, and aluminum has followed suit. These are inputs that matter across the entire PV Module manufacturing value chain, and we take them seriously.
For n-type TOPCon PV modules, which is our primary technology, silver paste is a key cost component and rising silver prices have sharpened our focus on material efficiency across the board. What this environment has done is accelerate our thinking and our execution.
We have moved faster on multi-busbar PV module designs, advanced screen-printing techniques, and longer-term procurement strategies that give us greater cost predictability. Our 3-stage backward integration—spanning ingots, wafers, cells, and PV modules—means we have far greater control over our input cost structure than a pure-play assembler would. That integration is our strongest operational hedge.
On freight, yes, there have been disruptions, but they have also reinforced the value of building a deeply localized supply chain, which is precisely what we are doing. Our margins remain healthy, and as our cell manufacturing capacity at Narmadapuram comes online, our cost position will only strengthen. We see this period as one that separates manufacturers who have invested in integration from those who have not, and we are firmly in the former camp.
As commodity and shipping prices go up, what’s your derisking strategy and strategy to remain cost competitive against Chinese suppliers?
Our de-risking strategy is built on three pillars — integration, technology, and policy alignment — and all three are working in our favour.
On integration, our 3-stage backward manufacturing model gives us control from ingot and wafer through to finished PV module. As our 8 GW cell plant at Narmadapuram comes online, we will have even greater insulation from spot commodity markets. We are not dependent on the open market for critical input; we are building the stack ourselves.
On technology, we are continuously investing in silver thrifting, multi-busbar PV module architectures, fine-line screen printing, and next-generation metallization approaches that reduce silver intensity per watt without compromising efficiency or reliability. Every efficiency gain on material usage translates directly into a cost advantage.
We are also making significant investments in building deep technical capability for our upcoming cell manufacturing plant at Narmadapuram. As part of this, we have onboarded a team of 40 specialized Chinese engineers to work alongside and train our local workforce, transferring highly specialized cell manufacturing knowledge and process expertise directly onto Indian soil. This is a deliberate, hands-on approach to capability building that ensures our cell plant ramps up with the right skills embedded in our people from day one. Over time, we expect this expertise to become fully indigenous to GREW Solar and to India.
On competing with Chinese suppliers, our approach is to play on a different field, not the same one. With ALMM List-I mandating domestic sourcing for all government-backed projects, and a 40% basic customs duty on imported PV modules, Chinese manufacturers simply cannot access the largest and fastest-growing demand pool in India. That is our home ground, and we are very well positioned on it. As our backward integration deepens and our scale grows, the overall cost gap with Chinese manufacturers continues to narrow, and in the DCR segment, we command a meaningful price premium that more than compensates for any input cost differential.
Export revenues appear to have softened for some Indian manufacturers. What trends are you seeing in overseas demand?
The global trade environment for solar has been eventful, and Indian manufacturers are navigating it actively. What is becoming clear is that the world genuinely wants a credible non-Chinese supply chain for solar, and India is the strongest candidate to fill that role. That is a structural opportunity, not a short-term one.
The US market has seen significant tariff changes, and Indian manufacturers have responded by pivoting their attention to a wider set of geographies. Europe is actively running tenders that explicitly seek non-Chinese supply, and Indian manufacturers with quality credentials and transparent supply chains are well-placed to win those conversations. Australia, the Middle East, and parts of Southeast Asia are all growing markets with strong appetite for quality Indian PV modules.
GREW Solar’s positioning here is an advantage. As a manufacturer that has always been anchored in the domestic market, with our ALMM-compliant, PLI-backed integrated production, we have a very strong domestic foundation. That gives us the stability to pursue international markets strategically rather than reactively. We are in active conversations across multiple geographies, and we are optimistic about where those lead. The global export story for Indian PV module manufacturing is being rewritten in a more diversified and sustainable direction, and we are part of that rewriting.
How are Indian manufacturers adapting to changing trade policies and tariff structures in the US and Europe?
The industry has shown real agility in responding to a rapidly shifting trade landscape, and I think what has emerged is a more mature, more resilient strategic posture across Indian solar manufacturing.
In the US, manufacturers are reassessing their go-to-market approach, exploring in-country partnerships, looking at how they structure their supply arrangements, and in many cases deepening their commitment to manufacturing quality and traceability, which is what sophisticated US buyers ultimately require. The US-India trade relationship has strong strategic logic on both sides, and we expect the framework to become more favourable as that bilateral conversation matures.
In Europe, the opportunity is quite exciting. The EU’s focus on supply chain de-risking from China, combined with its own renewable energy ambitions, is creating genuine pull for Indian PV module manufacturers who can demonstrate quality, sustainability, and supply reliability. GREW Solar’s ISO-certified manufacturing facility, our in-house R&D lab, capable of performing 25 different IEC tests, and our end-to-end documentation practices put us in a strong position to meet European procurement requirements. These market shifts are, in our view, ultimately positive for Indian manufacturers who have invested in genuine manufacturing excellence.
Domestically, the PLI scheme, ALMM, and basic customs duty create a very stable policy architecture. That foundation gives us the confidence to invest in capacity, technology, and talent, knowing the demand environment will support those investments.
In the domestic market, how do you see the demand-supply scenario right now?
The domestic market is in a very interesting and genuinely exciting phase. India added a record 37.9 GW of solar capacity in 2025, a 54.7% jump over the prior year, and the trajectory toward 500 GW non-fossil energy capacity by 2030 requires sustained annual additions of 45–50 GW. That is a very powerful demand engine, and it is not slowing down.
What makes the current moment particularly interesting is the bifurcation between DCR and non-DCR PV module demand. With ALMM List-II for solar cells coming into effect from June 2026, the demand for genuinely integrated, domestically manufactured PV modules is rising sharply. DCR PV modules command prices nearly double those of non-DCR modules, precisely because integrated domestic supply is becoming the standard for government-backed projects. The manufacturers who have invested in backward integration are the ones who will capture this premium.
So, while there is headline capacity growth across the industry, the real story is one of quality supply scarcity at the DCR-compliant end, and that is where GREW Solar is positioned. Our Dudu facility, our upcoming cell manufacturing at Narmadapuram, and our PLI-backed integrated production put us squarely in the most valuable part of this market.
Do you expect domestic demand to remain strong despite higher module prices and financing costs?
Absolutely, and with conviction. India’s solar demand is driven by national energy policy, government procurement schemes, and infrastructure imperatives, it is not demand that ebbs and flows with short-term price movements. PM Surya Ghar Muft Bijli Yojana, PM-KUSUM, the CPSU Phase-II scheme, these are large, multi-year programmes with dedicated budgets and mandated domestic content requirements. They are designed to drive solar adoption consistently over time, and they are doing exactly that.
Solar also continues to be the most cost-competitive source of new power generation in India by a significant margin. Even with some upward movement in PV module prices, the economics of solar versus alternatives remain overwhelmingly favourable. The headroom is substantial.
What we are seeing in the market is strong continued engagement from utility-scale developers, and very healthy demand in the C&I segment from corporate buyers who have long-term renewable energy commitments. Our recent 500 MW supply order from a leading power developer is a good reflection of that market confidence. Developers are executing, buyers are procuring, and the projects are moving. We are not seeing demand hesitation, we are seeing a market that wants reliable, high-quality, ALMM-compliant PV modules delivered on a scale. That is exactly what we are set up to provide.
How significant is the DCR market for your business strategy over the next few years?
The DCR market is at the heart of our strategy, it is where the most significant and most durable value in Indian solar manufacturing is being created right now.
With the ALMM List-II for solar cells effective from June 2026, the definition of a compliant PV module for government projects has fundamentally changed. It now requires domestically manufactured cells, not just domestically assembled modules. That is a significant step up in the integration bar, and very few manufacturers are positioned to meet it. GREW Solar is building specifically for this, our 8 GW cell plant at Narmadapuram is designed to make us one of the select group of truly integrated, DCR-ready PV module manufacturers in India.
The demand here is very strong. Industry projections suggest DCR demand could reach 20–25 GW in FY27, more than doubling from approximately 10 GW the prior year. And the margin profile is very attractive, DCR-compliant PV modules command two–three times the margin of non-DCR utility-grade modules. That premium reflects the real scarcity of genuinely integrated domestic supply, and it more than justifies our capital commitment to building that capability.
Our PLI allocation of 2 GW for fully integrated manufacturing, covering PV modules, cells, wafers, and ingots, is a direct alignment with DCR market requirements. We are very well placed for FY27 and FY28, which we expect to be strong years for integrated DCR manufacturers.
Looking ahead, what are the biggest risks and opportunities for India’s solar manufacturing industry in FY2027 and beyond?
India’s solar manufacturing industry is at a genuinely exciting inflection point, and we are optimistic about what lies ahead, both for the sector and for GREW Solar specifically.
The biggest opportunity is the convergence of domestic policy ambition and global supply chain realignment. Domestically, the ALMM List-II enforcement, the scale of government procurement schemes, and India’s 500 GW renewable energy target create a multi-year demand pipeline that is substantial, policy-backed, and increasingly tilted toward integrated Indian manufacturers. Globally, the world’s desire for a credible non-Chinese solar supply chain is a durable trend, and India, with its scale, manufacturing infrastructure, and quality credentials, is uniquely positioned to serve that need. For manufacturers who have invested in genuine integration and quality, this is a very favourable structural environment.
The areas we watch carefully as an industry, and where we are actively building resilience, include deepening upstream integration. India’s ingot, wafer, and polysilicon manufacturing is still in early stages, and continued investment here is important for long-term supply security. GREW Solar’s phased backward integration roadmap addresses this directly, and we are encouraged by the industry-wide momentum on ingot and wafer capacity expansion.
For GREW Solar, FY27 is when the full picture comes together, our PV module capacity at Dudu approaching 11 GW, our cell manufacturing at Narmadapuram ramping up, our ingot and wafer production anchoring the upstream end of the value chain, and our PLI-backed integrated production fully activated across all three stages. We will be among India’s most comprehensively integrated solar manufacturers, controlling the value chain from silicon ingot all the way through to finished PV module, and serving the DCR market with genuine domestic content at every stage. That is a position we have deliberately built toward, and we believe it will generate strong and sustainable value for all our stakeholders in FY27 and well beyond.
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