Hyderabad|India|August'2012: During the interaction with Sri.Kapil
Sibbal Union IT Minister and with Dr.Kumar Mangalam Birla, Sri.Ponnala
Lakhsmaiah Minister for IT & Communications Government of Andhra
Pradesh –suggested that India is in dire need of high end Electronic R&D
Park such as ITRI -Industrial Technology Research Institute, Taiwan.
Speaking at the sidelines of the First Convocation of BITS Pilani (
Hyderabad ), Sri.Ponnala Lakhsmaiah,Minister for IT, mentioned to
Union Government that Today TAIWAN has an edge in Electronic Sector due to
presence of the State of the Art Technology Research center such as ITRI.
ITRI acts as an epicentre of innovation in Electronic System Design and
Manufacturing - ESDM area. located in Schinchu Science Park Taiwan it
houses incubation centers for R&D activities in new and advance technology
in electronic design and Electronic Hardware manufacturing space. It works
at nurturing ideas from concept to product development and subsequently
commercialization of Products. Hundreds of patents are registered every
year (three patents a day) at ITRI Taiwan.
Providing a background on the state of Electronic Manufacture sector in
India and Globally – Ponnala Lakshmaiah, IT Minister said that the
Electronics, reported at USD 1.75 trillion, is the largest and fastest
growing manufacturing industry in the world. It is expected to reach USD 2
trillion by 2014 and USD 2.4 trillion by 2020. Currently, the demand in
the Indian market stands at USD 45 billion and is projected to grow to USD
125 billion by 2014 and USD 400 billion by 2020. Further, exports are
expected to increase from the current USD 4 billion to USD 15 billion by
2014 and USD 80 billion by 2020. Domestic consumption is expected to grow
exponentially at a CAGR of 22% for the period 2009–2020. This will be
driven by a surge in income levels, the aspirational value of electronics
goods, demand from a resurgent corporate sector and the government’s focus
on e-governance.
Size of the global electronics industry vis-à-vis other major
industries
4.40 times oil,
petrol and minerals
2.75
times chemical and plastics
2.45
times food, beverages and tobacco
2.44
times transportation
2.20
times electricity, gas and water
Domestic production is at present less than 45% of domestic consumption.
There is a huge gap in the demand and supply which will widen as the
demand grows and domestic manufacturing continues to slacken.
Significantly most of India’s electronics imports are from China and
Indian government and Government of Andhra Pradesh may like to reckon this
from a strategic perspective.
Ponnala Lakshmaiah,Minister IT mentioned that If India needs to achieve
its dream of becoming a self sustained economy in consumer and strategic
electronic sector instead of depending heavely on surmountable imports of
Electronic Components from China and Taiwan we should immediately have an
ITRI like institution in India supporting the Electronic Manufacturing
sector.
Further Sri.Ponnala Lakshmaiah suggested that there is no better place
then Hyderabad to have High End Technology R&D Center in Electronic
Manufacturing sector. Hyderabad today has sound base of Electronic Design
and Component manufacturing companies including base and strategic
electronic. Sri.Ponnala Lakshmaiah added that - Out of the US$ 9 Billion
IT Exports from Andhra Pradesh, US $ 1 Billion is contributed by
Electronic Hardware Manufacturing sector. There is already an ESDM
industry present and Hyderabad would be an ideal place to have a
electronic sector specific R&D Institution. Understanding the importance
of the electronic manufacturing sector Government of Andhra Pradesh
recently announced the ESDM(Electronic Hardware) Policy which is first of
its kind policy initiative in the country to attract and sustain the
electronic industry.
Speaking to the Union IT Minister – Sri.Ponnala Lakshmaiah,IT Minister
suggested that such institution can be established as a Joint initiative
between the Union Government, the State Government and the Electronic
Industry and Government of Andhra Pradesh is all set to take up this
initiative with the support of Union IT Ministry. Sri.Ponnala Lakshmaiah
also requested Dr.Kumar Mangalam Birla to support this initiative of the
union and state Government as Birlas already have a major forey in
Building institutions of Excellence. Government of Andhra Pradesh will
send formal proposal to Government of India in this respect.