Moving beyond mobile and automotive electronics, the industry should now step up investments on domestic manufacturing of strategic, defence and medical electronics, Minister of Electronics and IT Ravi Shankar Prasad told CEOs and heads of leading electronics companies like Apple, Dell, Oppo, Samsung, etc at a roundtable meeting on Monday.
Making an aggressive pitch positioning India as a global hub for manufacturing, Prasad said that his ministry would set up an institutionalised mechanism in form of a task force that would regularly interact with the industry, take their suggestions and address concerns. The government has set itself a target of creating a $400 billion electronic manufacturing ecosystem by 2025, and notified a new policy to galvanise manufacturing activities. Terming 5G as the new frontier for growth, Prasad, who is also the telecom minister, said the government was keen to see that India emerges as a big hub for 5G knowledge economy, patent creation, and Research and Development activities.
“India must emerge as a big leader in strategic electronics. India is a big market for solar, automotive and consumer electronics, and I would like to hear from you on how to take this forward. India also has a huge potential for medical electronics,” Prasad said, while addressing the industry players.
The Minister’s day-long discussion with industry players came at a time when India is trying to pitch itself as an international hub for electronics, and grab opportunities that have cropped-up in the backdrop of rising trade tensions between US and China, a global manufacturing powerhouse.
The closed-door meeting includes representatives from all major verticals of electronics sector such as mobile handsets, consumer electronics, strategic electronics, medical devices, electronics manufacturing services, components, telecom and LED lighting, among others. Big names in the electronics and manufacturing industry including Vivo, Oppo, Qualcomm, Xiaomi, Dell, HP, Bosch, Cisco, Flextronics, Foxconn, Nokia, LG, Panasonic, Intel, Wistron, and Sterlite Technologies were scheduled to attend the meeting.
Over the last few years, smartphone production in India has witnessed an increase with new mobile factories mushrooming across the country to cater to the data-hungry smartphone users. The size of mobile phone manufacturing was 29 crore units and Rs 1,70,000 crore in value terms during 2018-19, according to a presentation made by the IT ministry during the deliberations. India now hopes to put the building blocks for the next trajectory of growth. It is also fine-tuning a fresh cluster scheme (bigger and better than the last one) that would woo anchor manufacturing units with supply chain ecosystem and ancillary firms.