PHD Chamber in association with Department of Electronics and Information Technology(DEITY), Ministry of Communications and IT organized a Conference on Make n India: Bright Prospects of LED Manufacturing’ on 24th July 2015 at PHD House, New Delhi. The objective of the Conference was to boost domestic LED Manufacturing in India especially in rural areas where the concept of LED has not set in as widely as it has in urban India. The Conference also deliberated on how LED Technology in future can become the primary source of lighting in India.
The Conference was presided over by Dr. Ajay Kumar, Additional Secretary, Department of Electronics and Information Technology (DEITY), Ministry of Communications and Information Technology, Government of India.Shri D K Nayyar, Deputy Director General – Standards, Bureau of Indian Standards (BIS) delivered the Special Guest for the Inaugural Session.
In the Opening remarks Mr. Vivek Seigell, Director, PHD Chamber threw light on the current scenario of the Indian Electronics and in particular LED Industry. He mentioned that the Electronics imports to India grew at 26% in 2014-15 to $22.14 billion from $17.59 billion in 2013-14. He mentioned that Electronics exports from India witnessed a negative growth of 20 % at $ 2.09 billion in 2014-15 from $2.61 billion in 2013-14. He added that the LED imports in India grew at 69.2% to $222.3 million in 2014-15 from $131.35 million in 2013-14 and LED exports from India grew at 22.6% to $13.25 million in 2013-14.
Mr. Alok B. Shriram, President, PHD Chamber, while delivering the welcome address emphasized on India’s Electronics Industry. He said that the electronics industry today has become extremely vital and a key driver for India’s economic growth. He apprised the delegates of the current scenario of Indian Electronics Industry which stood at US$ 69.6 billion in the year 2012 which is 3.5% of the global electronics market. It is expected to reach US $400 Billion by year 2020.
Mr. Alok Shriram also stressed on LED segment which was gaining prominence worldwide and also in India. He suggested that more focus should be given on use of LED products can greatly reduce the power burden for the Government. The President pitched for lower certification fee or charges to obtain BIS standards especially for MSME segment specifically electronics industry as the current charges are very high.
Mr. Shriram appreciated the initiatives taken up by Department of Electronics and Information Technology (DEITY) especially the ‘Digital India’ Program which was launched by the Government of India in July and reiterated that such initiatives would help bolster the domestic manufacturing,
Dr. Ajay Kumar, Additional Secretary, Department of Electronics and Information Technology (DEITY), Ministry of Communication and IT, Government of India in his Inaugural Address said that the LED vertical has emerged as a key player in the Indian Electronics Market. He mentioned that the recent growth of LED technology in India is just the tip of iceberg. He said that apart from institutional and commercial demand, retail demand for LEDs has also increased substantially.
Dr. Ajay Kumar listed 3 factors which would be crucial for development of LED Technology
- New Programs of the Government of India like ‘Smart India’,’ Digital India’ are driving the demand
- Economic Development of India will also push a lot of people towards the technology
- Rural Areas will generate significant demand as the energy consumption is less
Dr. Ajay Kumar stressed that India must not limit itself to foreign designed LEDs and must focus on designing LEDs in India specific to requirements of Indian Consumer.
He elaborated that Prime Minister Shri Narendra Modiji has put an equal focus for ‘Design in India’ along with ‘Make in India’ campaign. The LEDs have also evolved with respect to design in the last 5-7 years by using different materials.
Dr. Ajay Kumar said that the electronics manufacturing scenario today is much better as compared to past 5 years. He said that in the past one year Rs 1,10,000 crore of investments for electronics manufacturing have been committed under M-SIPS (Modified Special Incentives Package Scheme) scheme of the Department of Electronics and Information Technology(DEITY).He further said that DEITY has set an ambitious target of $100 billion investments by 2020.
He said that the Government has taken certain various measures to boost Electronics Manufacturing in India like
- Extension of M-SIPS for 5 years. Also the new M-SIPS scheme has removed or simplified various sticky clauses to further boost the investor sentiment.
- Electronics Development Fund (EDF) will become operational from next month onwards to support venture capitalists to fund electronic manufacturing.
- Setting up of National Centre for Flexible Electronics (where LEDs would be an important vertical)at IIT Kanpur.They would be taking up projects only if industry is included as a partner.
- Joint Collaborative Research Grants for a company jointly working with a foreign company can also get financial support from DEITY.
He also added that it would be a watershed moment for India if Indian Companies which were not in Electronics Manufacturing started to participate in the Electronics Manufacturing.
Dr. Ajay Kumar sought active involvement of Bureau of Indian Standards (BIS) to check the imports of sub standard LEDs.He said that reducing inflow of sub standards LEDs will help the domestic manufacturer.
Dr. Ajay Kumar emphasized on Export Opportunities of LED products from India. He said that in order to boost Exports of LEDs from India DEITY had taken up the matter with Ministry of Commerce to also include Developed Countries in the purview of Market Access Initiatives (MAI) Scheme apart from Developing countries (currently).
Shri D K Nayyar, Deputy Director General – Standards, Bureau of Indian Standards(BIS) gave a Special Address at Inaugural Session. He said that if India has to follow National Manufacturing Policy then it must keep momentum of growth in manufacturing sectors as to achieve 25% share in national GDP by year 2022.
He said that of late there has been considerable improvement in manufacturing of Electronics Sector with ‘Make in India’ program of the current Government already acting as a catalyst.
Shri Nayyar said that LEDs are most efficient lighting source free of toxic materials and also no disposal issues of fluorescent lamps.
He mentioned that LEDs are having a big impact in the overall manufacturing of electronic products and has wide applications ranging from television receivers, laptops, computers, display devices and most importantly lighting. He also said that in the past few years LED based lighting have emerged as a credible, energy efficient, long lasting and low maintenance alternative for real world and commercial applications.Shri Nayyar said that BIS has an important role to play when it comes to developing LEDs with higher reflectance leading to improved efficiency
Shri D K Nayyar said that more than 100 standards have been released in the field of lighting and 15 directly related to LEDs.In addition BIS standards for LED display devices are also in place with standards on Photobiological safety requirements in the pipeline. Also another new initiative launched was Comprehensive National Lighting Code by Bureau of Indian Standards (BIS) which would act as a guideline document for manufacturers, lighting designers and users
He further explained the operating regulations at BIS which includes
- The well known ISI mark Scheme
- Self Declaration of Conformity that is a compulsory registration scheme where LED and LED luminaries are covered
Shri Nayyar stressed on the need for LED products to be made affordable to common man.
He also sought participation form industry in setting up national standards and mentioned that Indian LED Manufacturing sector can immensely gain through compliance of standards.
Shri Nayyar assured that Bureau of Indian Standards (BIS) in association with all stakeholders will work together to provide necessary platform and requisite support in achieving the larger objective of achieving growth with consumer satisfaction.
Mr. R P Jhalani, Chairman, Committee on Electronics and Engineering Goods, PHD Chamber gave the Theme address at the Inaugural Session. He said that the global LED market stood at $20-billion market and it is growing at about 30 per cent CAGR. He mentioned that the market is going to grow for the next five to six years and is forecasted to reach $42.7 billion by year 2020.
He further elaborated that Indian LED Market is one of the fastest growing industries. He mentioned that industry has mainly been driven by factors such as falling prices of LED lights, increasing initiatives taken by the government and rising concerns with respect to energy conservation. He also added that Indian LED market is pegged around $143 million (Rs 912 crore). Business is expected to grow at a whopping rate of 47.3 % between now and 2018 to touch $1.3 billion (8298 crore).
Mr. Jhalani suggested the government to promote the technology in rural areas where the concept of LED lighting has not completely set in. He mentioned that it would also augur well with the private manufacturers which can cater to the demand for energy efficient lighting and thus a win –win scenario.
Mr. Vivek Seigell, Director, PHD Chamber presented the Vote of Thanks and thanked Dr. Ajay Kumar, Additional Secretary, Department of Electronics and Information Technology (DEITY), Ministry of Communication and IT, Government of India for his encouraging words with special reference to the Announcement of Electronics Development Fund (EDF) which could be in excess of Rs 10,000 Crores. He said that EDF would help in increasing investments in the electronics sector. He also congratulated Dr. Ajay Kumar for attracting 1,10, 000 crore of investments through M-SIPS scheme of DEITY and expressed hope that DEITY would attract more investments through M-SIPS in the next 5 years.
Mr. Seigell thanked Shri D K Nayyar,Deputy Director General –Standards, Bureau of Indian Standards for providing inputs on the importance of standardization today’s scenario with respect to LEDs and how Bureau of Indian Standards can play an active role in the sector.
He also hoped that the conference would dwell upon issues related to domestic manufacturing of LEDs in India and the industry should try and work towards these solutions in order to promote and encourage manufacturing of LEDs in India especially in the rural markets.
Plenary Session
The Plenary Session was moderated by Mr. R .P Jhalani, Chairman, Committee on Electronics and Engineering Goods, PHD Chamber.
Other eminent speakers included Dr. Ashok Kumar, Energy Economist, Bureau of Energy Efficiency(BEE);Mr. Rakesh Saraf,Managing Director,Infodrive India;Mr. P K Sood,Chairman,Regnant Energy Solutions;Dr. Gautam Brahmbhatt,Head- Appliance, Lighting and Solar, Electrical Research Development Association (ERDA),Vadodara;Mr. Sandeep Garg,Chief Technical Specialist – Energy Efficiency Centre, Small Industries Development Bank of India(SIDBI) and Dr. Rajiv Kapoor,Professor and HOD,Department of Electronics and Communication Engineering, Delhi Technological University(DTU).
Mr. Rakesh Saraf, Managing Director, Infodrive India Private Limited elaborated on the statistics of the LED Market. He expressed concern on the rising imports of LED products in India.Mr. Saraf mentioned that main source of LED imports was from China with a whopping share of 84% followed by South Korea and Hong Kong with and 5.43 % and 2.4 % respectively. He was optimistic that in future there exists a huge possibility for Import substitution and boosting exports by enhancing domestic manufacturing capabilities, infrastructure, marketing & sales eco System, Industry friendly Taxation and legal compliances.
Mr. P K Sood, Chairman, Regnant Energy Solutions stressed on the advantages of India like demographic dividend with 65% of population under age of 35.He pointed out that if utilized it can propel India to a ‘Manufacturing Hub’.Mr. Sood said that in order to promote energy efficient LED Technology fiscal benefits need to be provided like Lower Excise Duty, VAT and accelerated depreciation which will result in huge power savings for the country. He said that the Chinese Government has succeeded to promote LEDs by giving subsidies.Mr. Sood also suggested that product standards development and implementation must be fast tracked as it would help the local industry and consumer.
Mr. Sandeep Garg, Chief Technical Specialist – Energy Efficiency Centre, Small Industries Development Bank of India (SIDBI) focused on financing of LED Manufacturing in India. He said that MSMEs are vital for development of a country as it produces 45% of the total industrial manufacturing output and has a share of 40 % in the Indian Exports.Mr. Garg said that SIDBI has undertaken attractive schemes and has entered into partnership with Bureau of Energy Efficiency (BEE) to promote cleaner and Energy Efficient investments in the MSME sector. He mentioned a new model launched by SIDBI called the 4E (End to End Energy Energy Efficiency) Solutions. Explaining the model he said that it would help MSME units to adopt energy efficient practices with the help of
- Detailed Energy Audit(DEA)
- Measurement and Verification for quantifying actual savings
Mr. Sandeep Garg mentioned that LED technology has a major role to play for the benefits of 4E Model to reach MSME units and estimated that around 3000 MSME units will benefit from this model.
Dr. Ashok Kumar, Energy Economist, Bureau of Energy Efficiency (BEE) elaborated on the important role of BEE in promoting the use of LED and Energy Efficient Technology. He said that Lighting consumes 18% of power in India as against 8-10 % in Developed Countries. He explained that the LED Market is set to grow exponentially in the coming decades and will be most sought after source of electricity in India.Dr. Ashok Kumar mentioned the initiatives carried out by Bureau of Energy Efficiency (BEE) including the LED Village campaign to replace existing incandescent bulbs of households and streetlights in a village with LEDs. Also among the recently launched initiatives of BEE Dr. Kumar told about the Star Labeling Program for LED Lamps valid from 6th July 2015 till 31st December 2018.Explaining the initiative he said that the basic idea was to increase the consumer awareness with respect to the energy efficiency rating of LED lamp.
Dr. Rajiv Kapoor, Professor and HOD,Department of Electronics and Communication Engineering, Delhi Technological University(DTU) rooted for Industry–Academia Collaboration for boosting Manufacturing in India.He said that there should be continuous interaction between the small scale industry and academia to promote innovation. He added that instead of spending crores of money, small projects like in the range of Rs 5-10 lakh should be pursued with partnership of academic institutions. He cited examples of institutions which are doing excellent research for industries. He said that the ‘Skill India’ Initiative launched the Government is a good step and more innovative designs and products would come up in the field of electronics.Dr. Kapoor also suggested that indigenization of Electronics equipment/products must be done for the Indian Electronics Industry.
Dr. Gautam Brahmbhatt, Head-Appliance, Solar and Lighting, Electricty Research Development Association, Vadodara focused on the Importance of Testing and Conformance. He said LED technology has developed intensely over the last few years is a subject of intense research and development. He said that LED luminaires are of greater significance today in the context of need for electrical energy conservation, longer life, and pollution control world over.Dr. Brahmbhatt added that the market is flooded with number of innovative LED luminaires, hence quality conformance and standardization becomes extremely important. He further elaborated on the safety, performance requirements for LED luminaires, Controlgears and Self Ballasted LED Lamps.
The Association Partners for the Conference were Indian Society of Lighting Engineers(ISLE) and LEDMA(LED Manufacturers Association).Media Partners for the Conference were Electronics Maker Magazine, EFY Group, LED World and Light Express Magazine.