strategic plan to turbocharge electronic components
TRANSCRIPT
www.avanteum.com 1www.avanteum.com
Strategy for Electronic Components
Strategic Plan to Turbocharge Electronic Components Manufacturing in India
29th May 2020
www.avanteum.com 2
Agenda
• Electronics Market Growth and Importance of Components
• Key Opportunities in Components
• Strategic Roadmap for Electronic Components
• Appendix
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Electronics Fastest Growing Category in Import basket; Forecast to
Reach USD150 billion by 2025 – Electronics Becoming India’s New Oil
127
400
57.7
200
2019 2025
Electronics Products Electronic Components
• At current progression, India likely to import USD 150 billion
worth of electronic components by 2025, thus becoming the
new oil.
• Electronic products (including components) resulted in a
cumulative forex outgo of USD 226.3 billion since 2015.
• Design-led local manufacturing to alleviate security threats and
IP creation possibilities.
• India’s share of global electronic component market was 14% in
2019 is expected to grow 4.8X the global growth rate by 2025
• Mobile phones, consumer and industrial key segments driving
demand growth; Greater electronics content per device
• FDI inflow in electronics industry increased by 13% during 2019
underlining its potential
NPE, MeitY, Elcina, MoCI, Market Watch, Avanteum Analysis
India Market Size (USD Billion)
www.avanteum.com 4
Addressable Market, 31.8
Global Sourcing, 25.9
Domestic
Production, 9.9
Imported Components,
13.1
Imported PCBA,
10.95
Integrating Indian Supply into Mobile and Consumer Electronics
Ecosystem is Critical to Boost Domestic Manufacturing
Components Consumption
USD 57.7 BillionAddressable Market
USD 31.8 BillionOpportunity Loss
through Equipment
Imports of USD 57
Billion
USD 2.2 Billion of
Exports
2018-19
• 17% is the contribution of domestic
manufacturers
• 83% (USD 47.7 billion) of electronic
components remain an opportunity for
domestic manufacturers
• Local disability cost of 10% makes it
unattractive for product manufacturers
to leverage existing local component
capabilities and capacities
• Zero duty regime under ITA-1 and unfavorable
FTA severely impact local manufacturing
• SPECS, PLI and EMC 2.0 are schemes of MeitY
designed to alleviate the challenges of the
industry and realize their true potential
MeitY, MoC, Elcina, Avanteum Analysis
USD 37.9 Billion
PCBA
USD 8.6 Billion
PCB
USD 10 Billion
ATMP
High-Yield Opportunities by
2025
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PCBA Imports a Pronounced Hurdle in Localization Efforts
Bare PCBPCB Assembly
(Populated with Electronic Components)
IT Electronics Consumer Electronics
Automotive Electronics
Industrial Electronics
LED Lighting Medical Electronics
Mobile Phones Electronics Security
Applications
▪ Constitutes 7-10% of the Bill of
Materials
▪ Local manufacturing will address IP
creation and security
▪ Manufacturing to stimulate
technology infusion and local
production of laminates (RM)
▪ USD 10.95 billion of imports on
account of low tariff barriers and
undue advantage accruing out of non-
ITA1 and FTA rules
▪ Local assembly will enable domestic
manufacturers of components to
achieve much needed scale
Critical Components for Electronic
Industry’s Objective of Self Reliance
MeitY, Elcina, Avanteum Analysis
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Circumvention of Components Imports as PCBA, Results in 10-15% (BCD) Adverse Impact on Domestic Manufacturers
Domestic
Production, 9.9, 29%
Imported
Components, 13.1,
39%Imported PCBA,
10.95, 32%
10.95
37.9
2019 2025
PCBA Imports
USD Billion
• Select large projects for potential
localization of PCBA by 2025:
– Smart Metering: 250 million units
– Reliance Smart Homes: 50 million homes
– Auto EFI, AIS 140: 30+ million units
– Air Conditioners: 20 million units
MeitY, Elcina, Industry Experts, Avanteum Analysis
Addressable Market
(31.8 USD Billion)
Telecom
15 Billion
5G, GPON
ONT, OLT
Key Electronic Segments in 2025
(USD)
Mobility
6 Billion
Powertrain,
Safety,
Comfort
Consumer
21 Billion
Durables, Wearables
Industrial
19 Billion
Discrete & Process
Automation, Smart Grid
Digital Infrastructure
12 Billion
Data Centres, Connected
Spaces
IT Hardware
10.5 Billion
PC, Servers
HSN Code Description BCD (non-FTA)
8542 Semiconductors 0%
85177010 PCBA* 20%
8534 PCB 0%
* PCBA are imported under various HSN codes
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Target Global Technology Leaders to Invest in India/ Technology Transfer; Taiwan & Japan Preferable Countries
ActiveElectro-
MechanicalPCB Passive LED
Wound Components
4.9 3.5 1.7 0.9 0.4 0.3
▪ Dominant category is IC. High investment requirement of USD 5 to 8 billion, a deterrent
▪ 43% of local production exported thus making it a viable category for import substitution
▪ 88% of demand imported while 60% of local production exported
▪ 65% of demand imported but local production possess export capabilities too
▪ 100% dependence on imported LED packages
▪ Characterised by low technology but moderate imports at 38% of local demand
Domestic
Production, 9.9
Imported
Components, 13.1
Imported PCBA,
10.95
Share of Various Components in the Import Basket, 2019 (USD Billion)
▪ Single, Double, 4
Layers and MC PCB
constitute 50% of
market demand
▪ Both SPECS and PLI
schemes cover PCB
segment*
▪ PCB industry can generate 8.2 million
direct and indirect jobs by 2025
▪ Absence of technology for high density, 6+
layers and flexi types of PCB
▪ Lack of enforcement of value addition
norms in public procurement1.8
8.6
2019 2025
PCB MarketUSD Billion
Addressable Market
(31.8 USD Billion)
▪ ATMP investment
is feasible with
USD 50 million
▪ Investment
incentivized under
SPECS scheme of
MeitY*
MeitY, Elcina, Industry Experts, Avanteum Analysis
* Amendment/ modifications recommended (through guidelines) to SPECS and PLI
www.avanteum.com 8
Live Example of Circumvention of FTA to Derive Undue Benefit to PCBA Imports
Component HSN
Code
Basic
Custom
Duty (BCD)
Landed
Cost
Duty
Value
(INR)
LED 85414020 0% 4.00 0
Diodes 85411000 0% 135.00 0
Capacitor 85322200 0% 517.00 0
Resistor 85331000 0% 41.50 0
IC 85423100 0% 340.00 0
PTC 85334030 0% 71.00 0
Bare Board 85340000 0% 235.33 0
MOSFETs 85423100 0% 15.50 0
Inductor 85045010 7.5% 402.00 28.05
Sensor 90319000 7.5% 168.00 11.72
Heat Sink 85469010 7.5% 115.35 8.05
IPM 85423900 7.5% 390.18 27.22
Wire Harness 85442010 7.5% 252.00 17.58
Plastic 39269099 10% 38.00 3.45
Sheet Metal 73269099 10% 47.00 4.27
Reactor 85043100 10% 41.00 3.73
Solder
Bar/Wire38101010 10% 52.00 4.73
Relay 85365090 10% 116.00 10.55
Fuse 85351030 10% 28.00 2.55
Buzzer 85311010 10% 9.60 0.87
Total 3018.5 122.8
PCB Assembly(Inverter Controller Board)
PCB Assembly Controller(Air Conditioner)
▪ Non-ITA 1 dutiable
components re-routed
through FTA countries
in the form of PCBA
▪ Loss of government
revenues and
opportunity loss impact
on domestic component
manufacturing industry
Industry Experts, Avanteum Analysis
Pressing Need for an Expert Committee to Review the Import Mechanism through Non-Tariff Barriers
Being imported as part of AC
under HSN code 84159000
Imports in FY 2019-20
▪ China: 16.38 Lakh units
▪ Thailand: 8.88 Lakh units
Import from Thailand (FTA)
to increase as China
companies move to Thailand
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Leverage Existing Policies of MeitY for Electronics for Attracting
Technology Partners
Component by
PriorityTaiwan Japan Europe Americas
PCB
ATMPNot considered a major center for
ATMP activities
▪ FICCI and Invest India to leverage
its international outreach efforts
and existing platforms to support
potential investors
▪ Countries of origin are
predominantly Taiwan and Japan
▪ JV with domestic companies to
help in risk management
▪ Key schemes for electronics
industry to be aggressively
promoted are:
▪ SPECS
▪ PLI
▪ EMC 2.0
*The list is non-exhaustive and may
inadvertently exclude potential investors for
the Indian industry
www.avanteum.com 10
Concerted Efforts Can Potentially Create 8.4 Million jobs and USD 33 Billion Investment by 2025
Import Substitution
Build Component
Capabilities
Target: PCBA
Target: PCB, ATMP
Strategic Action Plan Impact Ministry
Check mis-classification of non-ITA 1 component imports
10-15% applicable duty will discourage
imports as cost competitiveness of imports
will be lost
MoCI, MeitYCheck circumvention of non-ITA 1 component imports through FTA
countries
Form a committee comprising DGFT, Customs, MeitY, DPIIT and
industry representatives to deliberate on Non-Tariff Barriers
Progressively increase BCD on PCBA imports to 25%, maintaining a
differential of 5% in BCD between PCBA and FG
Will ensure attractiveness for component
assembly and manufacturing over importsMoCI, MeitY
Include PCBA in SPECS scheme to partially offset disabilityHelps boost investor confidence in the
post Covid-19 environmentMeitY
Review the investment & production target threshold under the PLI in
the context of changed macro-economic environment
Urge states to mandatorily implement PPO Assures domestic manufacturers greater
probability of participation and winsMoCI, MeitY
Review and establish value addition progression norms every 12 months
Extend tenure of term loans for electronics industry to 15 yearsWill help domestic manufacturers to
compete with Asian manufacturersMoCI, MoF
Forge international partnership for sourcing technology from leading
companies leveraging and
Establishes long term technology security
and quality of components MoCI, MeitY,
MEAIdentify and facilitate champion domestic companies to act as partner for
technology adoption and aggregation of demand on a consortium model
To create tech driven champion companies
and secure supply chain
2
3
1
4
6
5
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4 New Possible Locations for Electronic Component Manufacturing
Clusters for Proximity to Customers and Ports
Pinjore
Bhiwadi
Yamuna
Expressway
Hyderabad
Tirupati
Chennai
Bengaluru
Mysuru
Madurai
▪ Bengaluru Locations: International Airport Economic Zone, Dooravani Nagar, Electronics City
▪ Chennai Locations: Sriperumbudur, Nokia SEZ, TIDCO and SIPCOT
▪ Madurai: SIPCOT
Focus Clusters for
Components from EMC 1.0
New Suggestions for
Clusters
▪ Suggested locations driven by
proximity to electronics product
manufacturing zones and sea-ports
▪ Under-utilized industrial estates of
ITI and HMT in specified locations
to be converted into clusters
▪ Special focus and drive for
components in designated clusters
from EMC 1.0
▪ Make available land banks in
geographies where PSUs land is not
available
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• Strategic Imperatives
• Electronic Components Market and Production
• PCB and PCBA Industry Growth
• Disability Analysis
• Detailed Recommendations
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Electronic Content in Products Expected to Rise Significantly by 2025
Electronic Product Market Size by 2025:
USD 400 Billion
Electronics Components by 2025:
@ of 50% of the Product Value
Electronics Components Market
Size by 2025:
USD 200 Billion
MeitY, Avanteum Analysis
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Make Electronics Components Manufacturing a National Mission
• Indian companies need to play a greater role in the domestic
industry. 23% growth in components demand will lead to
exponential growth in imports within 5 years. Urgency to act to
stem the imports
Investment potential of US$ 50 to 75 billion and
direct employment creation of 2.7 to 3 million
80% of US and 67%
European have evinced
interest in moving out of
China. Japan has announced
23.5 Billion Yen incentive
package to companies to
move from China to other
countries.
Expanding the growth horizons to target greater
exports and global ambitions
Strategic Imperatives
• Local demand being high- financing the growth is critical and
would require both foreign and domestic investments
• Global companies exploring new manufacturing locations to
de-risk supply chain. Opportunity for India with its strong IP
safeguard track record
• Hardware integrity is emerging as an area of concern with
security implications
EE Times, Avanteum Analysis
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Global Scenario Poised to Address India’s Need
Investments to
De-risk Supply
Chain
To Mitigate
Country of Origin
Issues
Increase Market
Share of Domestic
Companies
Growing Exports
• Investments by growth hungry and China averse global companies
• Investment from companies concerned about IP safeguards in strategic sectors
• Investment from companies to protect high share in the Indian market
• Countries likely to leverage India to mitigate country of origin issues that could arise
out of the COVID 19 situation and risk global business
• Transfer of technology for critical components to Indian companies with high local
content requirement
• Increase share of domestic manufacturers through improved competitiveness, policy
measures, local content requirement, support to MSME and encouraging manufacturing
entrepreneurship
• Creating a focused approach to establish global opportunities through promotions.
Partnerships and technology sourcing and collaborations
GL
OB
AL
IN
DIA
N
CO
MP
AN
IES
Avanteum Analysis
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Diversity of Products Makes Industrial The Numero Uno Segment for
Domestic Demand
MOBILE
PHONES
24%
CONSUMER ELECTRONICS
INDUSTRIAL
ELECTRONICS
34%22%
COMPUTER HARWARE
7%
LIGHT EMITTING DIODE
2%STRATEGIC
ELECTRONICS
12%
2018-19
Overall Domestic
Electronic Components
market in India
(USD 31.8 Billion)
Elcina
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Ubiquitous Usage and Lack of Local Manufacturing Ensure Active
Components Enjoy Leadership Position
2018-19
Electronic Components
IMPORTS
(USD 13.1 Billion)
ACTIVE
4.9OTHERS
1.3ELECTRO
MECHANICALPCB1.7
3.5WOUND
COMPONENTS
0.3
PASSIVE
0.9
0.4LED
Elcina
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Enhancing Domestic Electro-Mechanical Capabilities Will Lead to Greater
Export Opportunities
2018-19
Electronic Components
Domestic Production
(USD 9.9 Billion)OTHERS
4.3ACTIVE 0.6
ELECTRO
MECHANICALPCB0.2
2.8WOUND
COMPONENTS
0.5
PASSIVE 0.6
0.8LED
CONNECTOR
1.8SPEAKERS
SWITCH
1.01.
7 RELAYS
0.1
CABLES
0.5
0.1
FUSE
Elcina
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Burgeoning Product Demand Makes Local Value Addition an Imperative
15.2
1.5
6.5
1.4
5.3
1.8
Mobile Phones Strategic Electronics
Consumer Electronics LED
Industrial Electronics Computer Hardware
Share of Key User Segments to
Electronic Components Demand
(Includes PCB Assemblies)
• Mobile phones manufacturing expected to touch 1 billion
by 2025. Localization of key components PCB, ATMP and
Displays will take value addition to 50% mark.
• Appliances & Consumer Electronics production is
anticipated to grow from 22.3 million in 2019 to 71.7
million in 2025. Local value addition to grow from 39% to
54% during this period.
• Industry 4.0, Smart Energy Management, Controllers and
Test devices hold key to local manufacturing and
components demand.
• PC market of 11 million in 2019 and low penetration of
15.5 units per 1000 people offers tremendous
possibilities for local manufacturing
USD 31.8
Billion
Elcina, CEAMA, MAIT, MeitY
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Domestic Production Rides on the Wave of Mobile Phones
55,806 55,765 64,742 73,524 77,000
39,374 45,083
62,21469,057
80,85018,691 19,885
20,38221,401
21,180
18,900
54,000
90,000
132000
170000
39,723
45,383
52,099
59,132
67,706
15,700
18,055
20,760
23,562
28,270
2,172
5,092
7,134
9,630
13,000
2014-15 2015-16 2016-17 2017-18 2018-19
Consumer Electronics Industrial Electronics Computer Hardware Mobile Phones
Electronic Components Strategic Electronics Light Emitting Diode
190,366
243,263
317,331
388,306
458,006
(~ USD 31 Bn.)
(~ USD 37 Bn.)
(~ USD 47 Bn.)
(~ USD 60 Bn.)
(~ USD 70 Bn.)
Elcina
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Electronics Products Mapping with Local Manufacturing Highlights
Elcina
www.avanteum.com 24
The Local Industry Size is Inadequate to Address the Boom in Demand
Elcina
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PCB Employment Generation Estimation Methodology
PCB Industry Investment to Employment Ratio -
USD 100 Million: 25000 Jobs
(Direct Jobs 8500 and 17000 indirect Jobs
PCB Industry Capital to Output Ratio –
1:2
Investment Requirement in PCB into India by 2025 -
USD 4.3 Billion
Jobs Creation Potential = USD 4.3 Billion * 25000
= 1.1 Million
Anticipated Imports of Electronic Components into
India by 2025-USD 150 Billion
Considering investment level and employment variations,
estimates is 1.1 million
Elcina,, Avanteum Analysis
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Addressing Disability will Ensure High Value Addition and Employment Creation in the Components Industry
69
19.2
2 3.8 -4
90
73
164 7 -0.9
99.1
-20
0
20
40
60
80
100
120
Materials
Cost
Mfg Cost Logistics
Cost
Finance
Cost
Pref.
Policies
Total
Disability
Disability Analysis- China Vs. India
China India
Net Disability is
10.02%
12.512.5 35.0 55.0 75.0 90.0
22.5
20.0
20.0
15.0
10.0
100.0
65.0
35.0 25.015.0
10.0
Ore,
Chemicals,
Silicon
Sheet, Plastic,
Wafers
Piece Parts Components Sub Assembly Finished
Products
Input Value Addition % of Value Addition
Value Addition Zone
• Electronic components investment generates maximum
employment potential in the value chain
– Every USD 1 Billon investment generates 35,000 direct jobs
• Domestic value addition potential remains limited due to
the disability cost challenge. Imperative to address
disability to create gainful jobs
www.avanteum.com 29
State Support Required for Indian Companies to Overcome Severe
Disability Compared to China
Elcina
www.avanteum.com 30
China’s Edge is Crafted by the Incentives Offered by Provincial
Governments to Manufacturers
Elcina
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Electronic Components Employment Generation Estimation
Methodology
Electronics Components Industry Investment to
Employment Ratio -
USD 14.3 Billion: 500 Jobs OR
USD 1 Billion: 35000 Jobs
Electronic Components Industry Capital to Output
Ratio –
1:2
Investment Requirement in Electronic Components into
India by 2025 -
USD 75 Billion
Jobs Creation Potential- USD 75 Billion * 35
= 2.7 Million
Anticipated Imports of Electronic Components into
India by 2025-USD 150 Billion
Considering investment level and employment variations,
estimates range is 2.7 to 3.0 million
Elcina, MeitY, MoC, Avanteum Analysis
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High Priority Policy Actions to Boost Domestic Demand, Near Term
Focus on Investments
Focus
AreaStrategic Action Plan
Timeline
for ActionImpact Ministry
Mobile
Phones
Create framework for local establishment of ATMP, PCB and Displays
manufacturing.
Near Term Will take value addition to 50% MeitY
Affirmative action to involve Indian suppliers to avail incentive package
PLI
Include electro-mechanical components as part of scheme Near TermTo increase the export contribution
from current 50%MeitY
Reduce threshold of investment for domestic players to INR 20 crores
Medium Term
MSMEs will come under the ambit of
this scheme. Realistic metrics will spur
investment urge
MeitYRedefine Capital to Output ratio to either 1:2 or 1:3 for domestic
companies
PPO
Include Smart Meters in the list of focus products
Near Term
Large market and value addition
prospectsMoP
Review and establish value addition progression norms every 12 months Dynamic standards setting MeitY
DTA SaleAllow EOU/EHTP to sell components in DTA at lowest BCD under any
existing FTA Medium Term
Will help local manufacturers to offer
alternative to imported components
MeitY,
MoCI
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
www.avanteum.com 33
Additional Subsidy to MSME to Overcome Structural Disability, Important for
scale improvement
Focus
AreaStrategic Action Plan
Timeline
for ActionImpact Ministry
SPECS
Allow payment towards ‘Capital Expenditure’, prior to date of
acknowledgment of investment application
Medium Term
Will avoid investment deferment for
want of acknowledgement
MeitYAllow switching of products manufactured n case technology or market
dynamics undergo change. Moratorium can be applied for 12 months
on original product before switch
Industry competitiveness in a dynamic
environment
Enhance subsidy pay-out to MSME to 35% from 25% Enabling MSME transformational growth
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
www.avanteum.com 34
Indian Companies Need Robust Yet Nimble Finance Organizations
to Ramp Up Manufacturing Capacities
Focus
AreaStrategic Action Plan
Timeline
for ActionImpact Ministry
Financing/
Insurance
Establish new lenders with DNA to support lending to manufacturing
companies - professionally managed, privately owned, distributed
ownership with industry investment
Long Term
Will provided desired ease and
dedicated funding services to the
industry
MoCI,
MoF
Lending to Electronic components companies to be considered under
priority sector lending by public sector banksNear Term
Will ease credit availability from banks/
FI
MeitY,
MoF
Increase tenure of term loans for manufacturing up to 5 years Near TermOn par with global best practices. Focus
on long termMoF
Develop a mechanism similar to ECGC for providing insurance cover
to MSME against delays and payment defaultsMedium Term
To ensure critical cash flow for MSMEMSME
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
www.avanteum.com 35
Synchronizing Policies/ Procedures among Stakeholders like Customs,
Taxation, Banks will Attract Investments and Free Up Time to Build Markets
Focus
AreaStrategic Action Plan
Timeline
for ActionImpact Ministry
EoDB
Allow LoI from Bank along with appraisal note for financial closure
Near Term
Will enable faster processing by banks/
FI
MeitYMake final registered lease deed/registered rent or lease agreement
acceptable to confirm availability of land for application
Will shorten gestation period of the
project
Fast-track Income tax assessment for transactions linked to
government approved subsidies
Increase capex limit on “Associated Utilities” from 10% to 20%. Medium TermHolistic view and benefits for critical
support systemsMeitY
Promote manufacturing entrepreneurship by integrating customs &
GST Long Term
MoCI
For MSMEs, reverse charge mechanism for GST MoF
Increase capex limit on “Associated Utilities” from 10% to 20%.
Medium Term
Eliminate redundant documentation
activities and save 3-4 months for a
manufacturer
MeitY
Eliminate hard copy submission requirement in EHTP imports license
applicationMoCI
Increase Green Card validity in STPI to 5 years MeitY
Simplify and accelerate SCOMET application and tracking through
technology upgrade of current systemMoCI
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
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Leverage the Demographic Dividend to Prepare 2.7 million Workforce
Focus
AreaStrategic Action Plan
Timeline
for ActionImpact Ministry
Skills
ESSCI should advertise - availability of skilled people by regions, by
domains and functionsNear Term
To enable a ready reckoner mapping of
skill resources by regions for optimal
planning
MSDE
To provide incentives for employing larger proportion of women in the
workforceMedium
Term
Encourage manufacturers to increase
women participation in labourMoLE
Establish training centers within established clusters by equipping them
with range of skill development tools
Enable industry participation and easy
geographical access to skills
MeitY,
MSDE
Skills development programs should focus on emerging digital
technologies for design led manufacturingLong Term
To prepare for future digital skills
permeating the electronics industryMSDE
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
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Made in India for the World – Build on Electromechanical and PCB Competence
and Focus on Globally Recognized Sectors from India like Automotive
Focus
AreaStrategic Action Plan
Timeline
for ActionImpact Ministry
Attract
Component
Companies
Identify set of international companies across electronic component
categories for investing in India either directly or through
partnership with domestic manufacturers
Near TermEntry of global component leaders will boost ecosystem and enable exports from India
MEA
Design specific reach-out to global electronics manufacturing units
within the identified companies that are exploring China exitNear Term
Attract China-averse component
manufacturers, critical to local
ecosystem, to invest in India
Information
Access
Create a portal of companies, products, capabilities, skilled
professionals to promote Indian companies to potential buyers and
investors Medium
Term
Creation of one-stop destination for
resources related to components
industry
MeitY
3C NetworkIdentify Champion Customers, Champion Components and
Champion Companies to focus on building scale
Preferential treatment to select
products and manufacturers to attain
scale and competitiveness for exports
MeitY
Dedicated
Component
Clusters
Create dedicated electronic components geographical clusters in
addition to notified EMC
Medium
Term
Will help develop components focused
capabilities besides attracting dedicated
export units
MeitY
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
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Creation of Brand India – Recognition, Respect & Recall – Learn from
Automotive, Software and Pharmaceuticals Success Stories
Focus Area Strategic Action PlanTimeline
for ActionImpact Ministry
Electronics
Focus in
Foreign
Missions
Redefine focus by Indian foreign missions by including dedicated
electronics officer within economic wings to scout and grow
business opportunities. Focus countries: US, Taiwan, China,
Germany, France, Japan, South Korea
Medium
TermRaise the profile of local electronics
industry and channel investors directlyMEA
Permanent Support Infrastructure in key markets to support
technology acquisition, logistics, market information, customer
outreach program among others
Long Term
Quality &
Certification
Establish 10 product and quality certification labs across regions for
components with industry partnership
Medium
Term
Will save critical financial resources and
time for manufacturers, currently
dependent on few labs
MeitY
Made in India
Pride
Create a scheme for star rating of electronic products using local
components and instill pride in Made-in-India products Near Term
Awareness about India made
products/component and drive adoptionMeitY
Near Term: 6 – 12 Months Medium Term: 13 – 24 Months Long Term: 25 – 36 Months
www.avanteum.com 39
Acronyms
1 ACMA Automotive Component Manufacturers’ Association
2 AIA Automation Industry Association
3 ATMP Assembly Test Mark and Packaging
4 BCD Basic Customs Duty
5 CCTV Closed Circuit Television
6 DTA Domestic Tariff Area
7 ECGC Export Credit Guarantee Corporation
8 EHTP Electronic Hardware Technology Park
9 ELCOMAElectric Lamp and Component Manufacturers’ Association
of India
10 EoDB Ease of Doing Business
11 EOU Export Oriented Unit
12 FDI Foreign Direct Investment
13 FI Financial Institutions
14 IMTMA Indian Machine Tool Manufacturers Association
15 IP Intellectual Property
16 ITA Information Technology Agreement
17 LED Light Emitting Diode
18 MeitY Ministry of Electronics & Information Technology
19 MEA Ministry of External Affairs
20 MoCI Ministry of Commerce & Industry
21 MoF Ministry of Finance
22 MoP Ministry of Power
23 MoLE Ministry of Labour & Employment
24 MSDE Ministry of Skills Development & Entrepreneurship
25 MSME Micro Small and Medium Enterprises
26 PCB Printed Circuit Board
27 PCBA Printed Circuit Board Assembly
28 PLI Productivity Linked Incentive Scheme
29 PPO Public Procurement Order
30 SPECSScheme for Promotion of Manufacturing of Electronic
Components and Semiconductors
