core sector communique

Draft National Policy on Electronics, 2011 Released by Shri Sibal
28 Million Employment and Turn Over of about 400 Billion US Dollar by 2020 Envisaged
High End Human Resource to be upscaled

Shri Kapil Sibal, the Union Minister of Communications and Information Technology and Human Resource Development released the draft National Policy on Electronics here today. Speaking on the occasion, Shri Sibal said that Information Communication Technologies and Electronics have been contributing significantly to the economic growth of the country and have the potential to script India’s future across the economy, society and government. This would epitomize what modern, resurgent and young India is capable of accomplishing. Achievements in the recent past in the IT and Telecom sectors have been spectacular and unprecedented in India’s history. Yet, it is the future that holds even more breathtaking possibilities, Shri Sibal said.

The Minister said that a combination of three interdependent and synergistic policies for IT, Telecom and Electronics are being formulated by the Ministry of Communications and Information Technology. The draft of the first of triad of policies, namely the Electronics Policy is released today.

The proposed National Policy of Electronics, 2011 envisions creating a globally competitive Electronics Systems and Design Manufacturing (ESDM) industry including nano-electronics to meet the country`s needs and serve the international market. The draft policy sets out to achieve a turnover of about USD 400 Billion by 2020 involving investment of about USD 100 Billion. It also aims at ensuring employment to around 28 million in the sector by 2020.

This is a quantum jump from production level of about USD 20 Billion in 2009. This includes achieving a turnover of USD 55 Billion of chip design and embedded software industry, USD 80 Billion of exports in the sector.

The policy also proposes setting up of over 200 electronic manufacturing clusters. Another important objective of the policy is to significantly upscale high-end human resource creation to 2500 PhDs annually by 2020 in the sector.

Of the three sectors – IT, Telecommunications and Electronics - Electronics presents special challenges. The draft policy seeks to address the major barriers which include lack of a strong base, an adverse international environment and failure to build an enabling eco-system.