The Hindu Business Line : `Kerala has potential to be electronics hardware hub'

`An electronics hub in Kerala can carry out activities such as electronics contract manufacturing, prototyping of electronic products and so on.' State Govt urged to set up infrastructure fund

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Thiruvananthapuram Jan. 29 Kerala has the potential to be a regional hub for the electronics hardware manufacturing industry, said Mr Sreekanth P. Krishnan, Co-Chairman (Southern Region), Electronic Industries Association of India (ELCINA).

The State is no stranger to the electronics industry thanks to the various ventures of the Kerala State Electronics Development Corporation (Keltron), he pointed out. This exposure to the electronics industry because of Keltron can be leveraged to create an electronics hub in Kerala, he told Business Line.

ADVANTAGES

Availability of skilled and semi-skilled workers for the electronics industry is an area in which Kerala scores, Mr Krishnan said. Similarly, Kerala's proximity to important West Asian business centres such as Dubai and the sea and air connectivity available from the State are other big advantages, he added.

While Kochi is the obvious choice for an electronics hardware manufacturing hub, Thiruvananthapuram also holds promise if the port at Vizhinjam is developed, Mr Krishnan said. An electronics hub in Kerala can carry out activities such as electronics contract manufacturing, prototyping of electronic products and so on.

ELCINA will offer full support to efforts to establish an electronics hub in Kerala. The organisation is willing to work to promote the idea of Kerala as an electronics hub among investors and major electronics companies, Mr Krishnan said.

ENVIRONMENT

However, the State Government needs to create an enabling environment for such an electronics hub. It could also look at measures such as establishing an infrastructure development fund for the electronics manufacturing sector, with investments from non-resident Keralities, he pointed out. Such a fund could be structured on the pattern of Cochin International Airport Ltd and could offer attractive returns to investors.

Meanwhile, the State Government has created a committee to look into the feasibility of setting up an electronics hub in Kochi. This committee, which Mr Krishnan is a member of, is expected to submit its report to the Government in the next few days.