The sixth edition of the Indian Semiconductor Association’s annual vision summit, opened in Bangalore, Monday with a strong plea to government, to recognize electronic design and manufacturing as parts of the same ecosystem which had the potential to contribute a fifth of the gross domestic product within the next decade, creating 27.8 million jobs by 2020, compared to 4.4 million today. Exports could grow from today’s $ 4.4 billion to $80 in the same time span.
Equally significantly the domestic market had matured and was already worth $ 45 billion – a number that could hit $ 125 billion as early as 2014 and $ 400 billion by 2020.
B V Naidu, Chairman ISA Chairman said “This is the beginning of a new decade which will take the electronics systems design and manufacturing sector to the level of 400 billion dollars by 2020. If we do not encourage local innovation and manufacturing, this could create a trade imbalance to the tune of $ 300 Billion by 2020. This sector needs special attention from the govt. of India by giving it the strategic importance to set up a national electronics mission to promote the sector.”
A sub committee of the Task Force set up by the Indian government for promoting Electronic System Design and Manufacturing (ESDM) in the country has pointed to the huge gap between supply and demand for electronics items -- with domestic production meeting less than half of the demand.
It has recommended the establishment of a National Electronics Mission; promotion of clusters on the lines of Noida near Delhi and Sriperumbudur in Tamil Nadu; encouragement for ‘made for India, in India’ products; creation of an R&D fund; and stable taxation measures and labour laws.
The Task Force includes the ISA as well as other industry bodies like MAIT, ELCINA, CEAMA and TEMA.
The 2-day ISA summit highlighted the innovation flowing from the Indian semiconductor industry in a special showcase on which report separately. India and Israel were the major country partners this year