December - 2013

GOVERNMENT OF INDIA
Department of Electronics and Information Technology (DeitY)
Ministry of Communications & Information Technology
ELECT RONICS INDIA
e-NEWSLETTER
…. For Electr onics System Design & Manufactur i ng (ESDM) Sector
Year 3 | Vol. 26: December 2013
GOVERNMENT OF INDIA
Department of Electronics and Information Technology (DeitY)
Ministry of Communications & Information Technology
From Chief Editor’s Desk
Dear Readers,
Wish you all a year of happiness, prosperity and growth. On our part, we wish to use the year to consolidate the
growth and brand of “Electronics India” and build on the foundation of new policy initiatives announced by the
Government during the year 2013.
We have made significant progress in one year. Let me use this as an opportunity to provide a summary of what changes
which happened over the last year in the electronics landscape in the Government.
Semiconductor wafer fab: The long cherished hope of getting semiconductor wafer fab has come closer to reality with
Cabinet giving green signal to two consortia for setting up semiconductor wafer fab in the country and approving an
attractive incentive package for FABs. These two FABs have capacity of 40,000 wafer starts per month, with technology
nodes ranging from 90 to 22 nm and involve investment of nearly USD 5 Billion in each.
Investments under MSIPS: 25 proposals involving fresh investment of nearly `13,200 Crores were received during the
year 2013. Approvals of these are in different stages. The first set of investments has also been made and subsidies are
expected to be disbursed in early next 2014-15. The investments include global majors as well as small scale companies.
Verticals attracting significant investment include automotive electronics, LED, consumer electronics and mobile devices
including smart phones and tablets.
Electronic Manufacturing Clusters: “In-principle” approval to seven new Greenfield Electronic Manufacturing Clusters
was granted. The locations are Hyderabad (2) in Andhra Pradesh, Jabalpur and Bhopal in Madhya Pradesh, Hosur in TN,
Bhiwadi in Rajasthan and Kochi in Kerala. These involve a total land area of 1832 acres and investment of `2,237 Crores.
Two of these clusters are being promoted by private industry while five are being implemented by State
………..continued on page 2
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 2
RBI eases FDI Norms
Development of Intellectual Property in ESDM
government entities. “In-principle” approval for supporting one Brownfield EMC at Bengaluru Electronic City is also in
advanced stages.
State Policies: Governments of Karnataka, Andhra Pradesh, Maharashtra, Madhya Pradesh and West Bengal came out
with policies/incentives for the electronics sector. These incentives are over and above the incentives being given by the
Central Government.
Venture Funds for R&D and Innovation: Three Venture funds to support start-ups in electronics have been recommended
and are under approval process in consultation with Planning Commission and Finance. The Funds are expected to
stimulate new product development and IP generation in the area of electronics.
Skill Development in Electronics: `114 Crores scheme has been approved in October 2013 for providing skill development
in electronics. The scheme provides 75 % of training fee as assistance for training in electronics manufacturing related
skills as identified by Electronics Sector Skills Council, Telecom Sector Skills Council and NIELIT. Nearly 90,000 persons will
be supported under the scheme in 6 states.
Compulsory Registration of Electronic goods: The mandatory requirement of meeting safety standards for 15 set of
electronic products has come into effect from July 2013. Nearly 450 registrations have been issued.
International collaborations: A Joint Working group, involving both industry and the Government, has been set up
between India and Japan to foster greater collaboration between the two countries. A Japan Help Desk has been set up in
the DeitY. A Sub Group for promoting manufacturing in hi-tech sector has been constituted as part of the Joint Working
Group between India and US. A proposal to set up Joint Working Group between India and Israel is under discussion. An
MoU has been signed between TEEMA of Taiwan and STPI of India to promote the electronics sector. Taipei Computer
Association (TCA) has opened its first office in India in Bengaluru in December 2013.
Incubators: The Working Group has recommended a `21.17 Crores proposal for setting up of an Incubator for start-ups in
Electronics in Delhi. The Incubator will be set up by STPI in association with India Electronics and Semiconductor
Association (IESA) and Delhi University. Sanction is underway. This is one of the four incubators proposed to be set up in
the country.
National Centre of Excellence in Large Area Electronics: A new National Centre of Excellence in Large Area Electronics has
been agreed in-principle. Located at IIT Kanpur, the Centre would be a joint initiative of industry and academia, and will
focus research on problems of the industry in areas like flexible electronics, print electronics, LEDs, etc. The project is
estimated to cost `135 Crores. EFC process has been initiated.
Platform for B2B collaboration in Electronics: DeitY has provided a platform to technology providers and JV seekers to
advertise announce their requirements. 19 companies have indicated interests to offer their technologies. 6 companies
have indicated interest for seeking JV partners. Details are available at www.deity.gov.in/esdm
Setting up of laboratories for testing safety of electronics equipment: Scheme approved in August 2013. This scheme
provides full grant to Central and State Governments and institutions under them for setting up test laboratories. Cost of
lab equipment, cost of building infrastructure and professional fees is provided as grant under the scheme.
…….continued on page 3
For feedback and subscription, please contact: Mr. Kapil Sharma, Editor (Electronics India e-Newsletter) & Senior Consultant (Communication, Brand Building &
Investment Promotion), Electronics System Design & Manufacturing (PMU), Department of Electronics and Information Technology [DeitY], Ministry of
Communications & Information Technology, Electronics Niketan, 6 CGO Complex, New Delhi 110003, India
Email: [email protected], [email protected], [email protected]| Phone: +91 11 24301281| Mobile: +91 97166 44444 | Fax: +91 11 24364185
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manuf actur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 3
RBI eases FDI Norms
Development of Intellectual Property in ESDM
Extension to export benefits to large number of electronic items: The list of items for which FPS/SFPS benefits was
expanded to encourage export of electronic products by domestic manufacturers. The comprehensive list is available at
www.deity.gov.in/esdm
Domestically manufactured “Aakash” Tablet on the anvil: The Aakash –IV specifications were finalized. The tender for
procurement of Aakash tablet was released by DGS&D and the process of short-listing vendors is expected to be complete
by end January 2014. Aakash tablet is expected to provide impetus to domestic manufacturing industry.
Revised policy for preference to domestically manufactured electronic goods approved by Government in December
2013. This provides for preference e to domestic manufacturers in all Government procurement.
Scheme for expansion of PhD in Electronics sector: A scheme to enhance the number of PhDs in Electronics sector to
1500 per annum by 2017-18 was recommended by the EFC. The scheme is under advanced stage of approval by the
Government.
Revival of flat panel LCD/LED TV manufacturing: Government disallowed bringing of flat panel LCD/LED TVs as part of
baggage allowance in Aug 2013. This led to a spurt in domestic manufacturing of these TVs in the country.
Electronics India Logo: Last but not the least, a new logo for branding India as the new destination for electronics was
released.
We hope we have a bigger list to show case progress for 2014. Happy New Year
Dr. Ajay Kumar
India and Taiwan to come closer in Electronics Design and Manufacturing
A delegation led by Dr. Ajay Kumar undertook a visit to Hong Kong and Taiwan during December 14-20, 2013 with
the objective to attract investment in Electronics System Design and Manufacturing and to create institutional
mechanisms for increasing business to business collaborations between the two sides. The delegation included Shri
Deepak Sharma, Additional Director, DeitY; Shri David Selvakumaran, Associate Director, CDAC; Shri LK Tiwari,
Government of Madhya Pradesh, Government of Madhya Pradesh Shri Pankaj Mahindroo, President, Indian Cellular
Association; Shri Anwar Shirpurwala, Executive Director, MAIT; Mr. Arivu Ramaiah, Vice President, GMR; Mr. Sravanan
Chandra Mouleeswaran, Vice President, SriCity; Mr. Daleep Kaul VP Sify Technologies among others.
The delegation had extremely fruitful discussions with Pinecone Energies, Advanced Optronic Devices, HTC, TEEMA,
Posiflex Technology, TECO, CDC, Information Industry Institute, Delta, Crystalvue Medical Corp, UMC, TaiDoc
Technologies, Apex Medical Corporation among others.
The delegation also met Vice Minister Mr. Duh during the visit. The delegation also participated in the “Think Electronics
Think India” Seminar organized by India Taipei Association (ITA) at Taipei. It also participated in a seminar relating to
medical electronics devices organized by ITA in Tainan.
Taiwan side has shown significant interest to create stronger linkages with Indian businesses in the area of electronics.
….continued on page4
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 4
RBI eases FDI Norms
Development of Intellectual Property in ESDM
Several business to business opportunities were discussed and follow up meetings are being planned by the collaborating
business entities in January 2014.
At industrial level also, the interest is reflected from Taipei Computer Association (TCA), opening its office in Bengaluru in
December 2013. This is the first such office by TCA in India and is expected to encourage greater trade and investment by
its members in India. Taiwan Electrical and Electronic Manufacturers' Association (TEEMA) has also formed an India
Committee, a committee of its members interested in doing business in India.
During preliminary discussions with Information Industry Institute (III) of Taiwan, the following four verticals were
identified for increasing greater B2B collaborations.
a.
b.
c.
d.
Mobile handsets and tablets.
Medical Electronics.
Point of Sale terminals.
LED
This is expected to create concrete tie-ups between companies from two countries in the identified four sectors.
Discussions were also held with the objective to set up a single window mechanism which will help fabless companies to
get their chips fabricated with relative lower costs and higher convenience.
Cabinet approves revised policy for providing Preference to Domestically Manufactured Electronic Goods
The Government had approved a policy for providing preference to domestically manufactured electronic goods
vide its notification dated 10.2.2012. This policy provided for preference to domestic manufacturers on the following two
counts: (i) in procurement for government use and (ii) procurement of electronic goods having security implications.
Several objections had been raised by global companies regarding applicability of the policy on electronic goods having
security implications. This was considered by Government, and it was decided in July’ 2013 to review the policy. In
furtherance to the said decision, the matter was reviewed in consultation with all concerned Ministries/Departments and
other stakeholders. A revised policy was drafted and laced before the Cabinet for its consideration. The revised policy has
been approved by the Cabinet and notified by Department of Electronics and IT (DeitY) on 23rd December 2013. A copy of
the revised notification is available on the website www.deity.gov.in/esdm
The revised policy is in supersession of the policy dated 10.2.2012. However, the notifications issued under the earlier
policy would remain in force till these are reviewed under the revised policy. It may be recalled that DeitY had issued
detailed notifications regarding six electronic products, namely desktop PCs, laptops, tablets, dot matrix printers, smart
cards and LEDs and Department of Telecom had issued notification regarding 23 telecom products, prescribing the criteria
of value addition require for a product to qualify as domestically manufactured.
The salient features of the revised policy are as follows.
i. The policy will be applicable to all Ministries/ Departments (except Ministry of Defense) and their agencies for electronic
….continued on page 5
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 5
RBI eases FDI Norms
Development of Intellectual Property in ESDM
products purchased for Governmental purposes and not with a view to commercial resale or with a view to use in goods for
commercial sale. This would also be applicable for procurement of electronic products made under all Centrally Sponsored Schemes
and grants made by Central Government.
ii. Each Ministry/ Department would notify the sector specific electronic product(s) for which preference would be
accorded to domestically manufactured electronic product(s). Generic products, which are procured across sectors, such
as, computers, communication equipment etc., would be notified by the Departments of Electronics and Information
Technology/Telecommunications, as the case may be.
iii. The notification issued by each Ministry/ Department for providing preference to domestically manufactured
electronic product(s) would specify the percentage of procurement to be made from domestically manufactured
electronic product(s), which shall not be less than 30% of the total procurement value of that electronic product(s).
Further each Ministry/ Department would also specify the domestic value addition requirement which the electronic
product should satisfy for the product to qualify as domestically manufactured electronic product. However, such
specification should not be below the generic definition of domestically manufactured electronic products provided in the
policy (i.e. percentage domestic value addition in terms of Bill of Material (BOM) going up from 25% in Year 1 to 45% in
Year 5).
iv. A two-tiered governance mechanism shall be established to oversee the implementation of the policy. In Tier 1, there
shall be a National Planning and Monitoring Council for Electronics Products (NPMC-EP) with the mandate, inter-alia, (a)
to design a 10-year road map for electronic products identified for notification under the policy, (b) approval of
notifications proposed to be issued by Ministries / Departments of Government of India, (c) monitoring the
implementation of the policy and (d) establishing a Grievance Redressal System. In Tier 2, Line Ministries/ Departments
will notify electronic products together with the necessary compliance requirements for electronic products being
procured for Government use, based on the approval of NPMC-EP. The notifications/ guidelines issued thus far, under the
earlier policy notified on 10th February 2012, shall be reviewed by the NPMC-EP, based on this policy. The notifications
for Government procurement issued under earlier policy will continue till these are reviewed under the revised policy.
For any questions/clarifications regarding the policy, readers may contact Mr. S.K. Marwah, Director, DeitY
(Email: [email protected])
Corrigendum on “Aakash” specifications; Date of “Aakash” Tender extended to 28th Jan, 2014
It has been decided to make available “Aakash” on Directorate General of Supplies & Disposals (DGS&D) Rate
Contract, which will enable the Government Departments and individual Institutions to procure the Aakash Tablets
without any procedural delays. DGS&D has brought out the Tender Enquiry No AAKASH/IT-1/RC-711B0000/1214/81 on
08th January 2014 for Aakash IV tablet with revised specification for annual rate contracts through on-line open
competitive bidding (details can be accessed at www.dgsnd.gov.in). A copy of the same is also uploaded on DeitY website
www.deity.gov.in/esdm
A workshop was held with potential vendors of Aakash on 2nd February, 2014 at Electronic Niketan in New Delhi.
The workshop was chaired by Shri J Satyananryana, Secretary, DeitY. Among others, Prof. D.B Pathak, IIT Bombay, Prof
Rajat Moona, DG – CDAC attended the workshop. Detailed discussion was held with all the potential bidders of the
Aakash IV tablets. Based on the forum discussions, it was decided to revise the Aakash IV specifications to increase the
….continued on page6
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 6
RBI eases FDI Norms
Development of Intellectual Property in ESDM
vendors participating in the tender. The process of getting Aakash logo from CDAC was also simplified and spelt out.
The salient features of the revised specifications are as follows:
i.
Aakash is an android based tablet computer with 7-inch touch screen with at least 800x480 resolutions
ii.
Memory (RAM):1 GB LPDDR2/DDR3 SDRAM
iii.
Storage: Internal: 4 GB with Storage External:- Micro SD Card 2.0 (SD High Capacity) Interface (up to 32GB
supported)
iv.
Bluetooth & Portable Wi-Fi Hotspot functionality
v.
GSM network connectivity through a SIM insertable in to the Tablet with Talk time of 5 hours minimum etc.
The salient features of the testing process to be followed by CDAC before issue of right to use Aakash logo for the vendors
tablet is as follows.
i.
Pre-qualification testing: Before the vendor is authorized to use the Aakash Tablet logo, the testing shall be carried
out for the adherence of the specifications and a report shall be provided to the manufacturer. Once a vendor is authorized
to use the Aakash Tablet logo, the validity of the certification will be for three years subject to compliance to acceptance
tests yearly.
ii.
C-DAC will scrutinize the supplied samples and will provide an acceptance receipt for the Tablets once all the
Tablets/documents etc. are received. Once the Tablets have been accepted, C-DAC will test the submitted tablet and will
provide the test report at the end of the testing procedure. If the model is tested and found to be compliant to the Aakash
specifications, C-DAC will provide an authorized certificate for the use of Aakash Tablet logo. If the model is not found to be
meeting the specifications, the test report will provide the details on the failures of the specifications etc.
To provide time to vendors to submit their samples as per the clarifications issued, the bid opening date extended till 28th
January 2014. Those interested should refer to the above-mentioned Tender document for full details.
For a quick recap, the broad features of the tender process are as follows:
i.
The Aakash tablet has to be domestically produced.
ii.
The domestic manufacturer of Aakash needs gets the right to issue Aakash logo from CDAC, Pune.
iii.
The Aakash tablet should meet the technical specifications as specified for Aakash-IV tablet.
iv.
The vendor shall provide repair, service and maintenance support for Aakash Tablets in at least one location in all
states and UTs of the country either through themselves or though tie-ups with a third party (NE states, UTs including
Sikkim may be treated as one unit for this purpose).Spares shall be made available for at least three years from the date of
sale.
v.
The bid is restricted to only OEM’s who are PMA compliant
Central and State Government Departments and agencies under their control and allowed to buy equipment from valid
rate contract vendors without having to go for fresh tenders. Therefore, it is expected that such a process will result in
significant demand for Aakash supply in the country. For more information, please contact Shri S.K. Marwaha, Director,
DeitY (Email: [email protected])
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 7
RBI eases FDI Norms
Development of Intellectual Property in ESDM
Development of Intellectual Property in ESDM Sector
A meeting of the working group for development of IP in ESDM sector under the chairmanship of Shri M M Nambiar,
was held on 9th December 2013. Following proposals have been recommended by the Working Group for consideration
by DeitY.
1. Proposal for setting up of Strategic Electronics Innovation Fund by SIDBI Venture Capital Ltd
The proposed fund is proposed by SIDBI Venture Capital Ltd. for funding of “Strategic Electronic” projects that include
defense and security, avionics, healthcare, industrial electronics, medical electronics, automotive electronics, LED,
solar PV, telecom, agriculture related and other emerging areas. Target period for investment under this venture fund
would generally be 4 to 5 years. The fund comprises of `160 Crores (Rupees One hundred Sixty Crores), with DEITY,
GoI contribution of `20 Crores, SIDBI `20 Crores & balance from other investors.
2. Proposal of Electropreneur Park by STPI/DU
The STPI led Incubator Centre, entitled Electropreneur park fulfills one of the strategies mentioned under the National
Policy on Electronics. The incubation centre will have emphasis on IP creation and Product Development to result in
increased domestic value addition with unique integration of academia, industry, government and other incubation
eco-system elements. It aims to incubate 50 companies in 5 years. STPI will provide a total of 10,000 Sq.Ft. of carpet
area. The project is proposed to be implemented by STPI with support from Delhi University, India Electronics and
Semiconductor Association (IESA) and other industry and academic institutions. The Working group has recommended
Deity Grant-In Aid of `21.17 Cr.
3. Proposal for a scheme to provide funding and support to Industry and Academic institutions for doing collaborative
research by Global Innovation & Technology Alliance (GITA):
The scheme will provide for funding and support to Industry and Academic institutions for doing collaborative
research with specified countries. The research undertaken will have a clear timeline and commercialization roadmap.
It will provide 50% (of the total research cost up to prototype development) funding support to an industry who will
do collaborative research with an Academic Institute in the priority areas. The implementation partner for the project
will be Global Innovation & Technology Alliance (GITA) – a Section–25 PPP Joint Venture Company incorporated by
Confederation of Indian Industry and Technology Development Board, Government of India. The countries of interest
identified through this project will be Belgium, Canada, Finland, Germany, Israel, Japan, South Korea, Taiwan, UK, US.
This list will be further evaluated by a Technical Committee in DeitY for identification of project proposal calls etc.
The Working Group recommendations will be processed by Department of Electronics and IT for formal approval of the
Government. It is expected to take about four to six weeks to get approval of these schemes.
For more information, on items (1) and (3) above, please contact Shri OP Sharma, Director, DeitY (Email:
[email protected]).
For more information, on items (2) above, please contact Shri Sanjay Kaul (Email: [email protected]).
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 8
RBI eases FDI Norms
Development of Intellectual Property in ESDM
5th Source India – Electronics Supply Chain 2013
The fifth edition of Source India - Electronics Supply Chain which was held on 10th December, 2013 at Chennai
Trade Centre, Chennai. Over 95 organizations participated including 10 buyer companies and interacted in one-to-one
buyer seller meetings. UK Trade and Investment, a Govt of UK undertaking participated as a Principal Sponsor and
Country Partner. Apart from this ELCOT supported the event as a lead sponsor. Dr. Ajay Kumar, Joint Secretary,
Department of Electronics and IT was the Chief Guest.
ELCINA initiated “Source India - Electronics Supply Chain”, in 2009, as a business development program to strengthen
local sourcing and value addition and since then it has witnessed five consecutive successful editions, all organized in
Chennai. The event consist of a Conference, Mini-Exhibition of about 30 booths and Buyer Seller Meet to encourage local
sourcing specially from Small/Medium enterprises.
SOURCE INDIA is a B2B event catering to the high volume segments of electronics mentioned above with following
objectives:






Bring all stakeholders on one platform to enable better communication and understanding among buyers
and suppliers of Electronics Value Chain
Facilitate in creating indigenous Supply Chain for Electronics Industry to meet increasing demand.
Create awareness about opportunities in the Electronics sector.
Involve the Small and Medium Enterprises to meet the requirements of Big Buyers from Consumer
Electronics, Telecom and IT equipment, Auto Electronics etc.
Bridging the gap between Government organizations and businesses.
Encouraging and enabling investments in the Electronics Industry
The Theme of the Conference this year was “Strengthening the Supply Chain through the National Electronics Policy”.
For further information please contact Shri Rajoo Goel, Secretary General, ELCINA (Email:[email protected])
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 9
RBI eases FDI Norms
Development of Intellectual Property in ESDM
India showcases National Policy on Electronics at HKPCA & IPC Show, 2013 at Shenzhen China
The HKPCA-IPC Show 2013 organised by Hong Kong Printed Circuit Association Limited (HKPCA) & Association
Connecting Electronics Industries (IPC) was held at the Shenzhen Convention and Exhibition Center in Shenzhen, China
under the theme of "Building on Wisdom, Shaping the Industry. The show has established itself as the premier PCB and EA
trade event for sourcing and technology exchange in Southern China.
An 11 member IPCA delegation led Shri Viral Bhulani, President, IPCA participated at the event. Shri OP Sharma, Director
DeitY represented Government of India at the event. Shri Sharma presented “Incentives given through ESDM Scheme by
Government of India” for the growth of Electronic Industry and PCB Industry during the Friendship Lunch organized in
connection with the event.
It is expected that the showcasing of incentives will help attract greater investment in PCB manufacturing sector in India.
MSIPS – Clarifications regarding multiple products in single application
In partial modification of Modified Special Incentive Package Scheme (MSIPS) Guidelines issued vide ref. 27(3)/2012-IPHW
dated 07-10-2012, the following amendment is herein made under:
Para 6.3 of the aforesaid Guidelines shall be substituted with the following:
“A project proposed under the scheme may include one or more electronic products in a single Initial Application. In case
the same manufacturing set-up/ production line is used for manufacturing more than one electronic products falling under
verticals with different thresholds, the applicable threshold would be of the vertical which has the highest threshold.
However if the manufacturing set-up for the proposed products are significantly different, the applicable threshold would
be sum of the thresholds required to manufacture each of the products separately”
A copy of the abovementioned amendment to the guidelines is available at website www.deity.gov.in/esdm. For further
information please contact Deputy Director, Smt Vandana Srivastava ([email protected])
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 10
RBI eases FDI Norms
Development of Intellectual Property in ESDM
M-SIPS Application Status as on 24-12-2013 (in `Crores)
Verticals
Automotive Electronics
Consumer Electronics/ Hand Held Phones
LED Lighting Products
Strategic Electronics
Automotive Electronics
Industrial Electronics & Automotive Electronics
Utility Electronics
Capacitors
Set Top Boxes
Telecom Products & Hand Held Phones
LED FAB
Telecom Products
ATMP-Semiconductors
Consumer Electronics/ Hand Held Phones
LED Lighting Products
Industrial Electronics & Automotive Electronics
Photovoltaics
Others
Total investment planned: over `13,000 Crores.
Project Cost (`Crores)
Status
436
Approved
406
Approved
11
Approved
203
Recommended by Appraisal Committee
120
Recommended by Appraisal Committee
52
Recommended by Appraisal Committee
17
Recommended by Appraisal Committee
16
Recommended by Appraisal Committee
11
Recommended by Appraisal Committee
6,449
Appraisal Underway
1,787
Appraisal Underway
1,769
Appraisal Underway
744
Appraisal Underway
367
Appraisal Underway
193
Appraisal Underway
69
Appraisal Underway
62
Appraisal Underway
75
Appraisal Underway
Total number of applications received: 21
For further information please contact Deputy Director, Smt Vandana Srivastava ([email protected])
Telecom Sector Skills Council (TSSC) collaborates with Australian Skills Council
TSSC has entered into an MoU with the Australian Skill Councils of Innovation & Business Skills Australia (IBSA) &
Energy Skills Australia (E-Oz) in April 2013. In furtherance of the said MoU, the TSSC has successfully culminated its PhaseI of the collaboration on 15 Dec 2013. The following has been achieved during the course of interactions and collaboration:
(a) Bench-marking of nine job roles of TSSC with equivalent Australian roles.
(b) Insight into Australian Vocational Training system with emphasis on affiliations, assessments and certification.
(c) Identification of gaps in Job Roles due to country specific regulations, legislation, work culture and health standards.
(d) Understanding of Australian approach towards developing Labour Market Information system.
The following has been recommended as way-ahead for Phase-II collaboration:
(a) Identifying and addressing contextual gaps for the 02 identified job roles to facilitate labour mobility
(b) Implementation of pilot training with identified Australian Training Partners for 04 job roles
(c) Bench-marking of additional 06 job roles, and
(d) Standard assessments and RPL requirements associated with 04 job roles
For more information, please contact Lt. Gen S P Kochhar, CEO, TSSC (Email: [email protected])
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 11
RBI eases FDI Norms
Development of Intellectual Property in ESDM
MAIT-KPMG Report –“Indian Market Place-IT the unrealized potential”
Manufactures Association of IT (MAIT) has jointly conducted a study entitled “Indian Market Place- IT the unrealized
potential which brings out the potential of Indian market in desktop, notebook and related IT hardware space over the
next five years. The report was released on 30th October 2013 by Dr. Sam Pitroda, Adviser to Prime Minister, Public
Information Infrastructure & Innovations, Government of India in the presence of Shri J Satyanarayana, Secretary,
Department of Electronics and IT.
According to the report, the current PC penetration in rural India is limited to approximately 9 million households whereas
nearly 14 million can afford computers, as they fall above the estimated affordability level of `5 lakh annual family income.
Hence, 36% households in rural areas that can afford a PC still do not own one. Low rural literacy, poor infrastructure and
lack of local language product customization are some of the key impediments to rural PC penetration. It also makes
several recommendations to boost the sale of PCs and laptops within the country.
The report estimates that in FY 2014-18, there could be an increase in sales of desktop and notebook from 6 percent to 18
percent CAGR contributing additional GDP of `66,300 Crores, taxes of `25,000 Crores and generate new employment for
1,11,600 people. However, if the recommendations are implemented by FY 2018, the total number of persons employed
would reach 4,23,500 on average, contributing `2,91,700 Crores to Gross Domestic Product (GDP) and `1,10,600 Crores in
taxes through direct, indirect and induced effects.
For further details, please write to [email protected].
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 12
RBI eases FDI Norms
Development of Intellectual Property in ESDM
ESDM Workshops in Colleges by IETE
The Department of Electronics and IT (DeitY) had entrusted the Institution of Electronics & Telecommunication
Engineers (IETE) with the responsibility to conduct 19 ESDM Workshops in Colleges all over India. Workshops at following
15 institutions have been organized on the dates indicated alongside.
Date of
SNo. College
Workshop
1
SR Engineering College, Anathanasagar Hassaparthy, Warangal
27-Jul-12
2
Central India Institute of Technology, Indore Devas bypass PO Arandia Indore
23-Aug-12
3
Bhilai Institute of Technology, Bhilai House Durg
25-Aug-12
4
Dronacharaya College of Engineering, Khawntwas, Farukh Nagar, Gurgaon
30-Aug-12
Singhgad Institute of Technology Gat No 309/310, off Mumbai-Pune Expressway Kusgaon
5
1-Sep-12
Lonavala Tal Maal Dist Pune
6
Sant Baba Singh Institute of Engg Technology Village Khayala PO Padhiana Distt Jalandhar
12-Sep-12
7
The National Institute of Engineering, Manadavadi Road, Mysore
14-Sep-12
8
Karunya University, Karunya Nagar, Coimbatore
14-Sep-12
9
Venkateswara College of Engg Post Bag No 3 Pennaiur Sriperumbudur
14-Sep-12
10
Sri Sirvasbramaniya Nadar College of Engineering, Rajiv Gandhi Salai Kalavakkam
14-Sep-12
11
Cummins College of Engg for Women, Moije Sukllhingna Nagpur
5-Oct-12
12
PEC University Sec-12 Chandigarh
9-Oct-12
13
PM College of Engineering, Kami Road, Sonepat
26-Oct-12
14
St Ann’s College of Engineering Technology, Nayaunipalli, Vetapalem, Chirala Prakasam AP
12-Nov-12
15
MS Ramaiah Institute of Technology, Vidya Soudha MSRIT Post MSR Nagar, Bangalore
29-Oct-13
Colleges/ Universities interested in conducting such workshops for the benefit of their students and faculty may like to
contact Shri Anil Sharma (Email: [email protected] and [email protected])
Recent clarifications on Compulsory Registration Order (Dated 18.12.2013)
In respect of “Electronics and IT Goods (Requirements for Compulsory Registration), Order 2012”, it has been
clarified that:
i. There is no quantity limit on the number of units being imported for testing / R&D / demo purposes.
ii. Customs Officers should not insist on an NOC from DeitY for goods to be classified under HSE criteria. They should take
a decision based on instructions issued in this regard. In the event of any technical clarification, Custom Authorities may
take up the matter with DeitY. However, under no circumstances should applicant be required to get a NOC from DeitY.
iii. There is no restriction on goods directly imported by end users for personal use.
For the purpose of swiftness of the operations, good governance and reducing paper work, DeitY has asked Customs
Authorities that that necessary customs clearances may be provided as per the standing Orders. A declaration from
importer/ exporter/ local representatives/ end user shall be treated as sufficient to process such clearances in respect of
the above 3 categories of equipment ( I, II & III above).
The provisions for allowing imports with BIS Registration without self-declaration label on the product/packaging as
notified vide notification dated 30 September 2013, has also been extended till 3 rd April 2014.
All relevant instructions in this regard are available on website www.deity.gov.in/esdm. For any questions/clarifications
readers may contact Shri Arun Sachdeva, Sr. Director (Email: [email protected])
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
| Page 13
RBI eases FDI Norms
Development of Intellectual Property in ESDM
Indian Exports
of Other Office Machines (HS Code 847290)
Brownfield Electronic Manufacturing Clusters for the purpose of
MSIPS
Top 5 destinations India’s Export
With the approval of the competent authority, DeitY vide
notification No: 36(3)/2012-IPHW dated 23rd December has notified
the following new 12 Brownfield clusters. An Electronics unit in
Brownfield EMC is eligible for incentives under MSIPS:
2008-2009
HUNGARY
USA
INDONESIA
AUSTRALIA
TURKEY
2009-2010
RUSSIA
USA
INDONESIA
SINGAPORE
POLAND
2011-2012
2012-2013
USA
INDONESIA
SINGAPORE
COLOMBIA
IRAN
USA
GERMANY
RUSSIA
UAE
MALAYSIA
2010-2011
USA
INDONESIA
SINGAPORE
MALAYSIA
TURKEY
2013-2014
(Apr-Sep)
USA
GERMANY
IRAN
MALAYSIA
UAE
SNo.
State
Brownfield EMC for MSIPS
Scheme
ClusterID
1
Haryana
District Gurgaon
HR-1
2
Himachal
Pradesh
Block Kandaghat
HP-1
HP-2
4
Block & Urban body area,
Solan
Block, Dharampur
5
Block, Nalagarh
HP-4
6
Urban body area Nalagarh,
HP-5
7
Urban body area Baddi
HP-6
8
Urban body area Parwanoo
HP-7
District Thiruvananthapuram
KL-1
District Alappuzha
KL-2
3
9
Kerala
10
HP-3
11
Maharashtra
District Pune
MH-1
12
Rajasthan
District Jaipur
RJ-1
With notification of these brownfield clusters the total number of
notified brownfield clusters for the purpose of MSIPS is 30 (thirty) till
December 2013. Other areas too are being identified for further
notification.
For further information,
([email protected])
please
contact
Shri
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003
Sanjay
Kaul
ELECTRONICS INDIA
e-NEWSLETTER …. For
Electr onics System Design & Manufactur ing (ESDM) Sector
MSIPS Application worth `13,000 Crores
Revised PMA Policy notified
Indian Imports
Other Office Machines (HS Code 847290)
Top 5 destinations India’s Import
2008-2009
2009-2010
GERMANY
GERMANY
SINGAPORE SINGAPORE
CHINA P RP CHINA P RP
JAPAN
JAPAN
NETHERLAND KOREA RP
2011-2012
2012-2013
CHINA P RP
KOREA RP
JAPAN
GERMANY
SINGAPORE
CHINA P RP
GERMANY
IRELAND
KOREA RP
JAPAN
2010-2011
CHINA P RP
GERMANY
JAPAN
KOREA RP
USA
2013-2014
(Apr-Sep)
CHINA P RP
GERMANY
KOREA RP
USA
ITALY
| Page 14
RBI eases FDI Norms
Development of Intellectual Property in ESDM
Reserve Bank of India (RBI) eases FDI norms
to allow Foreign Investors’ exit
The Reserve Bank of India relaxed foreign direct investment (FDI)
norms, on 9th January 2014 vide their notification: RBI/2013-2014/436
A.P. (DIR Series) Circular No. 86, to give foreign investors an option to
exit their investments by selling their holdings of equity or debt.
As per the modified norms, FDI contracts can now have optionality
clauses, which allows investors to exit, subject to the conditions of
minimum lock-in period and without any assured returns. Until now,
only equity shares or compulsorily and mandatorily convertible
preference shares or debentures could be issued to persons resident
outside India under the FDI policy and these instruments were not
allowed to have any optionality clause.
It is expected that this relaxation will facilitate greater FDI flows into the
country. Considering that electronics sector is expected to attract
significant FDI, this additional flexibility is likely to facilitate greater FDI
inflows in the country.
Interested readers may further access the detailed RBI notifications at
http://www.rbi.org.in/scripts/NotificationUser.aspx?Id=8682&Mode=0
And
http://www.rbi.org.in/scripts/NotificationUser.aspx?Id=8681&Mode=0
Telecom Sector Skills Council Signs MoU with MIT Pune’s MITSOT
For detailed information on Government of India
policies, please visit
ESDM page on
www.deity.gov.in/esdm
Editorial Board
Chief Editor : Dr. Ajay Kumar, Jt. Secretary, DeitY
Editor
: Sh. Kapil Sharma, Sr. Consultant, DeitY
Member : Dr. Debashis Dutta, GC, DeitY
Member : Sh. Akhila Chandra Jha, DDG, DGFT
Member : Sh. G. Prasad, Scientist E, MNRE
Member : Sh. S.K. Marwaha, Director, DeitY
Member : Dr. R. C. Chopra, Sr. Advisor, CII
Telecom Sector Skill Council (TSSC) has signed an MoU on 28th December 2013
with MIT Pune’s MIT School of Telecom Management (MITSOT) Pune to launch
unique programs for the first time in India. This is the First kind of its initiative
with the academic Institution across the country. These programs are in form
of short term courses including Territory Sales Manager (Prepaid), Sales
Executive (Broadband) and Territory Sales Manager (Broadband). The duration
of these courses will be in the range of 3-6 months and will start from January
2014 onwards. To start with the programme will offer three courses and will
increase the number of courses at a later stage. The faculties will be trained
under the “Train the trainer program”. Under the MoU the programme will
also help in up skilling and reskilling the skills of existing professionals through
these courses which will go a long way in bridging the need-gap requirement
Electronics India e-Newsletter, Room No. 2280, Department of Electronics and Information Technology
Ministry of Communications & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi 110003