Tata Electronics Chairman Banmali Agrawala said the country needs to double down on electronics manufacturing, particularly on electronics manufacturing services (EMS) \u2013 designing, manufacturing, and testing electronic components and assemblies for OEMs. While speaking at FED Dialogues, a series featuring conversations on economic growth, Banmali Agrawala said that EMS is perhaps the single-largest job-creation opportunity for India in the near term. <\/p>\n
\u201cThe largest piece within electronics is smartphones. And if you look at the smartphone manufacturing ecosystem, we now have that growing so fast within India; it all started with EMS. <\/p>\n
Even within EMS, it starts with final assembly; then, you work further upstream into manufacturing and machining. And now, you see the smartphone component industry mushrooming, from glass to batteries to packaging of chips. EMS is maybe the single largest job creation opportunity. So, it also fulfils our other objective, which is to create many well-paying and meaningful jobs,\u201d said Banmali Agrawala.<\/p>\n
He further explained how India had gone \u2018slow\u2019 on the manufacturing front and needed to ensure that the sector \u2013 which accounts for 13-15 per cent of India\u2019s GDP \u2013 has a much larger share as it will create better-paying jobs. \u201cThe global trade in manufacturing is $15 trillion plus, whereas services is $7 trillion; so, manufacturing is more than twice the size of services. Our share in the global trade in manufacturing is negligible, so there is ample room for growth. Electronics, on its own, has a global trade worth $5 trillion. Given the pace of digitalisation the world over, it is only going to grow, and this is something India should be after,\u201d he said. The chairman of Tata Electronics further stated that India\u2019s domestic consumption is not going to be enough to be able to achieve sustained economic growth. \u201cWe have to have the world as our marketplace.\u201d<\/p>\n
Banmali Agrawala hailed the government\u2019s \u2018sense of urgency\u2019 for getting things done while arguing against scepticism about electronics assembly in India. \u201cThere is nothing low in it. Even assembly is reasonably complex. We have not seen scale, precision, and surface finish happen simultaneously at a single location in our country, but it is not insurmountable. We can definitely do it!\u201d While maintaining this, he also talked about how the government and India Inc can work to make the most of the opportunity. \u201cIt\u2019s not just the quantity but also the quality of power and water supply that matters. This makes the difference; the logistics in terms of connectivity to airports, proximity of airports, because the components industry moves through air. The government would do well to ensure this enabling infrastructure is in place. A lot of this is in the domain of state governments,\u201d he said.<\/p>\n
\u201cThis is going to be a people-heavy operation. We\u2019re talking about youngsters, 50,000 \u2013 70,000 people working in a single factory or location, aged 20-25, mostly women, so we need to ensure that the supporting ecosystem for education, healthcare and recreation is in place. On skill development, I would argue that a basic platform of education should impart a know how of skills such as numeracy, communication and logical reasoning. The specific skills of manufacturing can be taught by the employer.\u201d<\/p>\n
Finally, he added that while several multinationals are setting up shop in India and implementing things on scale, Indian corporates should shed their conservatism and risk aversion to seize this opportunity.<\/p>\n","protected":false},"excerpt":{"rendered":"
Tata Electronics Chairman Banmali Agrawala said the country needs to double down on electronics manufacturing, particularly on electronics manufacturing services (EMS) \u2013 designing, manufacturing, and testing electronic components and assemblies for OEMs. While speaking at FED Dialogues, a series featuring conversations on economic growth, Banmali Agrawala said that EMS is perhaps the single-largest job-creation opportunity for India in the near term. \u201cThe largest piece within electronics is smartphones. And if you look at the smartphone manufacturing ecosystem, we now have that growing so fast within India; it all started with EMS. Even within EMS, it starts with final assembly; then, […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-801018","post","type-post","status-publish","format-standard","hentry","category-it-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/801018","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=801018"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/801018\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=801018"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=801018"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=801018"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}