Millennium Semiconductors, Mouser Electronics, and RayQ TTI are among specialised semiconductor and electronics warehousing and logistics firms planning to expand their footprint in India, anticipating sustained demand in this growing market, said government officials and industry executives. <\/p>\n
Tensions in the Gulf, which historically served as a central logistics hub for the global supply chain, is also spurring these companies to accelerate diversification plans, with India\u2019s growing electronics ecosystem serving as a catalyst for demand. <\/p>\n
Pune-based Millennium Semiconductors, an electronics component and distribution firm, received Karnataka government approval to invest \u20b9150 crore for establishing a 250,000 square feet electronics component hub on a 6-acre plot in Bengaluru. <\/p>\n
The state government has granted a 25% capital subsidy to the company and will reimburse stamp duty and registration charges as a special incentives package, said MB Patil, Karnataka minister for large and medium scale industries. <\/p>\n
\u201cMillennium Semiconductors\u2019 Bengaluru component hub will improve timely access to components for OEMs, EMS players, MSMEs and startups, reduce import dependencies and cost inefficiencies and strengthen local value addition across PCB assembly, prototyping, design and end-product manufacturing,\u201d Patil told ET. <\/p>\n
Millennium Semiconductors declined to comment. <\/p>\n
Meanwhile, Berkshire Hathaway-owned subsidiary RayQ TTI, which specialises in selling interconnect solutions to defence and aerospace industries, is setting up a dedicated warehousing unit that\u2019s expected to reduce the lead time for manufacturers to 1-3 days from weeks, an industry executive said, requesting anonymity. <\/p>\n
\u201cRayQ has purchased land and is setting up its facility in Pune,\u201d the executive said. \u201cThey are specifically focusing on catering to the auto electronics, aerospace, and defence sectors.\u201d He said the company is starting with a small pilot facility with an investment of \u20b9150 crore, expected to be commissioned by next year. <\/p>\n
Also, Texas-based Mouser Electronics is scouting for land to set up its first warehouse in India, the executive said. <\/p>\n
RayQ and Mouser did not respond to ET’s request for a comment. <\/p>\n
Primary hubs are emerging in Pune, Bengaluru, Hosur, and in Jewar, Uttar Pradesh, with firms looking to open highly specialised and technology intensive storage facilities that require automated rack systems, packaging, and complete dust-free environments and clean rooms.<\/p>\n
\u201cSemiconductor warehouses require strict environments such as a Class 1000 clean room to store sensitive chemicals and gases,\u201d said Kumar Priyadarishi, founder, Techovedas, a semiconductor consultancy firm. \u201cThere is also a need for nitrogen-purged warehouses, dry warehouses, hazardous chemical storage, and bonded warehouses. Warehouses for components are relatively simpler, requiring temperature and humidity control, similar to automotive warehousing.\u201d<\/p>\n
Experts said these warehouses will primarily serve two distinct needs \u2013 store the output from component factories, and for final assembly firms looking to near-shore components so they can pull on demand.<\/p>\n
The move is expected to help companies such as Tata Electronics, and Dixon Technologies in reducing lead times in procuring key components for manufacturing.<\/p>\n
\u201cThere is enormous financial upside in this right now with basic trading margins easily exceeding 12-15%,\u201d said the industry executive cited earlier. \u201cThis is why the government is not subsidising this sector.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Millennium Semiconductors, Mouser Electronics, and RayQ TTI are among specialised semiconductor and electronics warehousing and logistics firms planning to expand their footprint in India, anticipating sustained demand in this growing market, said government officials and industry executives. Tensions in the Gulf, which historically served as a central logistics hub for the global supply chain, is also spurring these companies to accelerate diversification plans, with India\u2019s growing electronics ecosystem serving as a catalyst for demand. Pune-based Millennium Semiconductors, an electronics component and distribution firm, received Karnataka government approval to invest \u20b9150 crore for establishing a 250,000 square feet electronics component hub […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-1024285","post","type-post","status-publish","format-standard","hentry","category-it-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1024285","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=1024285"}],"version-history":[{"count":1,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1024285\/revisions"}],"predecessor-version":[{"id":1024298,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1024285\/revisions\/1024298"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=1024285"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=1024285"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=1024285"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}