“We ensure zero rejection in Radcom's components

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Radius Industries has been in the business of components for a decade, offeriing active and passive electronic components under their own brand name—Radcom. Its team of technical specialists and engineers ensure quality and reliability of its range. The company provides component solutions to a range of industries like communication, power electronics, consumer electronics, lighting solutions, to name a few.

Amidst the growing competition in the semiconductor industry and the recent market fluctuations, Radcom has built a place for itself in the semiconductor business. In a conversation with Nitasha Chawla of Electronics Bazaar, MS Bindra, president, Radius Industries, shares his view on China’s advantage over India and what Radcom offers to its customers.

EB: What is the USP of brand Radcom? What edge does it have over other semiconductor component brands?

The USP of our brand is consistency and quality. We make sure that we don’t compromise on our quality standards even if we are taking a beating due to fluctuations in the market. Also, to ensure that ourcustomers get nothing but the best in quality and zero rejection in Radcom’s components, we have set up our own in-house testing facilities in New Delhi. The testing facilities have been installed with CNC (computerised numerically controlled) diode testing machines, capacitor testing machines, computerised transistor testers, temperature profilers and various other machines.

EB: What has the Radius’ growth rate been in the last two years?

The company has been growing at a rate of 10-15 per cent year on year.

EB: What are your plans with respect to expansion? Any tieups planned for the future?

We would like to have our own production unit in India in the future. Regarding tieups, there are no plans as of now.

EB: Why is it more cost effective to manufacture in China than India?

China has an advantage over India mainly because of the high volumes it can produce, which has been possible because of their government support and policies, its low power cost, good infrastructure and a proper ecosystem for manufacturing. India had an industrial base earlier and China was nowhere near us, but now most of manufacturing (not only electronics) has moved to China. In my opinion, the way China has progressed compared to other countries, in India this can happen with full support of policy makers. China’s industry fluorished because the Chinese government gave the industry a free hand, better financial incentives and labour laws. Before setting up their industries, the Chinese made sure that they had the required infrastructure (road network, train network). Our government should try and emulate the China model.

EB: The European crisis, a US economy that still hasn’t quite recovered, the weakening rupee, high domestic interest rates, and a stronger Japanese Yen have all added to the woes of India’s domestic electronics manufacturing. What’s the impact on the components distributors in India, as India imports almost 60 per cent of its electronics components?

The import cost has definitely gone up with these crisis and fluctuations in the currency. Since we are selling at the same price to our end users, we are bearing the extra cost without compromising on the quality of our product. We are hoping for the rupee to strengthen soon.

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