I just returned from India to the New York area a few days ago and there is considerable excitement over the efforts to help the Indian electronics industry grow. The IT and mobile telephone sectors are shining examples of what India can achieve …. with the right policies.

The Draft National Policy on Electronics 2011 highlights ambitious goals:

Current Situation: USD 20 Billion production in India in 2009. Indian electronics production is 1.31% of global production vs China’s 33%
Indian Government Projections: USD 400 Billion electronics market by 2020 with a required investment of USD 100 Billion. Employment of 28 million and exports of USD 80 Billion also desired. That is a HUGE increase in production in just a decade!
The Government of India is very concerned that current policies will result in electronics imports that far exceed oil imports so they seem to be really motivated to encourage the electronics industry.

The Indian government is proposing providing Preferential Market Access for domestically manufactured electronic products to address strategic and security concerns while remaining consistent with international obligations in procurement. It is also proposing incentives for electronic manufacturing clusters with world class logistics and infrastructure.
The focus is on creating a globally competitive Electronic Systems and Design Manufacturing ecosystem with a focus on strategic electronics such as Defence, Atomic Energy and Space. Centers of Excellence will be set up for Automotive Electronics, Avionics and Industrial Electronics. Strategic importance is also given to Telecom, Power, Railways and Civil Aviation. Read the Draft Policy yourself.

– C. Krishna “Kris” Rao

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