To enhance collaboration between the Central and state governments and elucidate the potential and opportunities offered by government schemes related to electronics manufacturing, the central government will host a dialogue with IT ministers from state governments this Saturday. This roundtable, titled the ‘Digital India Conference of State IT Ministers,’ is scheduled to occur during the sixth edition of the India Mobile Congress 2022 in New Delhi. State IT Ministers and IT Secretaries have been invited to engage in discussions on the role of states and union territories in the rollout of 5G, business prospects, the necessity for skill development, and interaction with potential start-ups and investors.
Rajeev Chandrasekhar, Minister of State for Electronics and IT, emphasized the unprecedented opportunity for India in electronics manufacturing, urging state governments to prioritize it in their industrial and investment strategies. The central government has introduced various programs, including production-linked incentive (PLI) schemes for electronics and semiconductor manufacturing, and the conference aims to encourage state governments to actively participate in this initiative.
Amidst the global disruption caused by Covid-19 in value chains, there has been a global conversation about relocating some electronics and semiconductor manufacturing away from China. Chandrasekhar stressed the importance of state governments recognizing this transition, emphasizing the need for prompt action due to the short window of opportunity. He highlighted that if the ‘China plus one strategy’ gains traction in countries like Vietnam, bringing back manufacturing to India would become challenging.
The agenda of the meeting includes presentations by Chandrasekhar and Minister of State for Communications Devusinh Chauhan on various electronics- and 5G-related initiatives of the Centre. State IT ministers will then present digital-related initiatives from their respective states. Union Minister of IT Ashwini Vaishnaw, IT Secretary Alkesh Sharma, and Telecom Secretary K Rajaraman will also address the meeting.
Addressing questions about the semiconductor plant’s location in Gujarat instead of Maharashtra, Chandrasekhar acknowledged the competitive nature of securing investments. He emphasized that competition exists not only between countries but also among states in India. Chandrasekhar highlighted that states with proactive policies and leadership are more competitive in attracting investments. He also mentioned inaugurating a manufacturing facility of Taiwanese electronics manufacturer Pegatron in Tamil Nadu, governed by the DMK, to illustrate the non-partisan nature of such initiatives.
In February, Chandrasekhar had written a letter to all industrial ministers of state governments, emphasizing the significant market available for electronics manufacturing and expressing the need for strategic steps to make India a global electronics hub.
