Make in India will benefit electronics manufacturing: Industry body1 min read . Updated: 20 Oct 2014, 06:59 PM IST
IESA says will set up a promotion cell to encourage foreign investments and form alliances with trade bodies from other countries to facilitate technology transfers to India
New Delhi: The electronic system design and manufacturing (ESDM) industry will benefit from the government’s Make in India campaign and is projected to see investment proposals worth Rs10,000 crore over the next two years, said the India Electronics and Semiconductor Association (IESA), an industry body.
Launching industry-wide initiatives to help the government promote design-led manufacturing in the Indian ESDM space, the association said it will set up an international investment promotion cell to encourage foreign investments and form alliances with trade bodies from Japan, Taiwan, the US, Singapore and other countries to facilitate technology transfers to India.
“The ESDM industry is likely to garner Rs10,000 crore of investment proposals, in addition to current two semiconductor fabs (fabrication projects)," said Ashok Chandak, chairman of the IESA. At present, according to industry estimates, only one in three investment proposal in the ESDM space gets approved.
“Of the 45 M-SIPS (modified special incentive package scheme) proposals, only 15 or 16 were approved till August 2014. But going ahead, we expect half of this envisaged Rs10,000 crore proposals to be approved," said Chandak.
The industry body has also been working with the department of electronics and information technology to set up incubation centres for product start-ups.
“We will be setting up five start-up incubation centres, partially funded by central and state governments, to speed up the start-up environment in the electronics space, in the next one year," Chandak said.
This includes an incubation centre in the Delhi-National Capital Region. Bangalore, Pune and Indore, and states of Kerala and Odisha, among others, have been shortlisted for opening the remaining incubation centres.
“We plan to mentor at least 250 start-ups, to start with," Chandak said.