Automation In Logistics Led To Automation In Manufacturing: Newland AIDC

Newland AIDC APAC headquarter in Singapore; In Box - JP Mishra, India Country Manager, Newland AIDC
  • The company is starting barcode and mobile computer device manufacturing in India via the contract manufacturing route

  • According to it, EMS, EV and automotive components manufacturing will lead in the automation race

The logistics sector adopting automation has proved to be the tipping point for automation adoption in the manufacturing sector in India, JP Mishra, Country Manager – India, Newland AIDC, told Electronics For You in an exclusive conversation.

He said, “The logistics sector adopting automation seems to have acted like a proof of concept for the manufacturing sector. The trend will only grow from here.”

The data points he shared reveal that the growth of automation in the logistics sector was approximately 20% to 22% Year-on-Year (YoY) since 2013-14. However, the growth of automation in the manufacturing sector was below 10%, and after the uptick it in logistics, it is now north of 20%.

“During and after the pandemic, the growth of automation in the manufacturing sector has been over 20%. We expect the momentum to continue,” Mishra added.

Also Read: Factory Automation Rising In India: Delta Electronics

EVs, automotive, and EMS will lead

Further, Mishra believes that the electric vehicle manufacturing, automotive manufacturing, component manufacturing, and EMS sectors will drive automation growth in India from here. According to him, as these sectors are quality-conscious and require the highest checks, automation will play a big role here.

Notably, Newland AIDC has seen much growth in its business from these three sectors. The company has been growing 200% YoY in India since 2020, whereas its growth figure was limited to 100% YoY before that.

The company’s global net revenue for the last fiscal exceeded $1 billion. Mishra added that while India contributed less than 3% to Newland AIDC‘s global revenue, he is certain this figure will increase.

As a result, the company will start manufacturing Barcode Readers and Mobile Compute Devices in the country starting October 2023. It aims to manufacture at least 20% to 30% of what it plans to retail in India.

“About 30% to 40% of raw materials and components required to manufacture these two categories will be sourced from India. The rest will come from our international suppliers,” Mishra said.

Newland AIDC is taking the contract manufacturing route and has finalised a contract manufacturer. Based on the demand for made-in-India products, it will decide whether to establish a manufacturing facility here.

The company retails barcode scanners, RFIDs, mobile computers, information kiosks, barcode printers, and other automation enablers in India and other parts of the world. Its clientele includes Foxconn, Wistron, Tata, Blinkit and others.

As per Mordor Intelligence, the India Industrial automation market size is expected to grow from USD 13.23 billion in 2023 to USD 25.76 billion by 2028, at a CAGR of 14.26% during the forecast period (2023-2028).


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