The panel will create a roadmap to ensure significant investments for the creation of a globally competitive IT hardware component, parts, and design ecosystem in India
With the Centre rolling out incentives to thrust upon IT hardware manufacturing in the country under the Production Linked Incentive (PLI) scheme, the top manufacturing body the India Cellular & Electronics Association (ICEA) has announced a high-level committee to boost manufacturing and exports of the IT hardware (laptop/tablet) sector.
Under the PLI scheme, the government has proposed incentives to companies for enhancing their domestic manufacturing apart from focusing on reducing import bills and improving the cost competitiveness of local goods. PLI scheme offers incentives on incremental sales for products manufactured in India.
According to the announcement, the panel, chaired by HP India Managing Director Ketan Patel, will create a roadmap to ensure significant investments for the creation of a globally competitive IT hardware component, parts, and design ecosystem in India by 2026.
According to Patel, the PC and tablet market is approximately $230 billion globally and it is essential to create economies of scale to build a sustainable manufacturing base in India.
“I wish to prepare a concrete IT manufacturing roadmap for the next five years with desired outcomes regarding employment, contribution to GDP, and possible value additions,” Patel said, adding that their interactions with the government have been highly encouraging in this direction.
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Earlier this month, the Electronics and IT Ministry selected 14 applicants under the Production-Linked Incentive (PLI) scheme for IT hardware manufacturing in the country. The major international players selected under the incentive scheme are Dell, Wistron, Rising Stars Hi-Tech (Foxconn) and Flextronics.
The domestic companies selected under the scheme are Lava International Ltd, Dixon Technologies (India) Ltd, Infopower Technologies (JV of Sahasra and MiTAC), Bhagwati (Micromax) Neolync, Optiemus, Netweb, Smile Electronics, VVDN and Panache Digilife.
The ICEA has been in discussions with global brands such as HP, Dell, Apple, Wistron, Flex, Foxconn and their Electronics Manufacturing Services (EMS) companies to find ways to recast the IT manufacturing vision to unlock its full potential.
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“The world’s top EMS companies are already in India and Indian companies are also learning to build electronics products for leading global OEMs. At ICEA, we are determined to make India the next global hub for electronics manufacturing in partnership with the government,” said Pankaj Mohindroo, Chairman, ICEA.
Tech Observer Desk at TechObserver.in is a team of technology reporters led by a senior editor who brings latest updates and developments from the world of technology.
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