The Hindu Business Line : Electronic hardware bodies unite

The objective of the council would be to utilise the synergy between the member associations to build a strong domestic electronic hardware industry.

New Delhi , March 8

IN a bid to make the Indian electronic/IT hardware sector globally competitive, all the four electronic hardware industry associations - Consumer Electronics & TV Manufacturers' Association (CETMA), Electronic Component Industries' Association (ELCINA), Telecom Equipment Manufacturers' Association of India (TEMA) and Manufacturers' Association of Information Technology (MAIT) - have joined together to form the Council of Electronic Hardware Associations (CEHA).

The presidents of the four associations would head the council by rotation. For the first year, Mr R.P. Khaitan, President, CETMA, would be the convenor.

In the absence of right policies, the electronic hardware industry in India continues to languish in spite of the potential that exists for its growth, a CETMA release said. The electronic hardware industry has been the engine of growth of national economies of developed countries such as Japan and Korea as well as a number of developing economies. Presently, the industry contributes about 10 per cent of the national GDP in China. In India, contribution of the electronic hardware industry to the national economy is a mere 0.6 per cent.

CEHA will work for the growth of industry, by spurring domestic demand and helping the industry realise its full potential in creating national wealth, CETMA said.

It would take up with the Government important issues which are adversely affecting industry, such as implementation of VAT, elimination of the inverted duty structure, simplification of procedures to reduce cost, labour law reforms and implementation of the draft hardware policy, prepared by the Department of Information Technology.

The council aims at building competitiveness by participating in programmes related to emerging technologies and trends, total quality management, sharing of best practices/success stories, benchmarking and paving the way for bringing the latest technology in manufacturing. It would organise exhibitions and seminars for promotion of the industry.

The identity of individual associations would be preserved. The objective of the council would be to utilise the synergy between the member associations to build a strong domestic electronic hardware industry. Thus, it would complement and enhance the efforts made by the individual associations.