April 9, 2015: India can expect large scale investments in the electronics sector in 2015-16, said IESA.
“India’s electronic sector has been undergoing tremendous transformation over the past few years. 2014 was a milestone year in terms of setting the right policy environment. 2015-16 will be key in translating those policy benefits into real action and bringing large scale investments,” IESA’s new chairman Vinay Shenoy told media, as reported by Jagran Post.
The Indian electronic system design and manufacturing industry is represented by IESA.
The association works closely with the government on framing policies for developing electronics manufacturing ecosystem in the country.
Shenoy, who is also the vice president and MD of Infineon Technologies India, highlighted the retrospective tax issue which had become grave issue for foreign investor.
“Government has marketed ‘Make in India’ campaign very well. Multi-national companies are lot more positive now but they are cautious. Retrospective tax cases that we have seen in last five years is making them wary of India,” Shenoy added.
He added that the Indian government has announced a lot of plans to develop the semiconductor ecosystem in the country.
“Semiconductor plant require over US$ 4 billion investment. These plants operate on local-to-global basis. The plant has to work round the clock which requires continuous supply of clean water, power. These all things need to be simultaneously put in place before investments start hitting ground,” added Shenoy.