[NPE] National Policy on Electronics (India) – 2012

The National Policy on Electronics aims to address the issue with the explicit goal of transforming India into a premier Electronic System and Design and Manufacturing (ESDM) hub.

• The policy is expected to create an indigenous manufacturing eco-system for electronics in the country.

• It will foster the manufacturing of indigenously designed and manufactured chips creating a more cyber secure ecosystem in the country.

• It will enable India to tap the great economic potential that this knowledge sector offers.

• The increased development and manufacturing in the sector will lead to greater economic growth through more manufacturing and consequently greater employment in the sector.

The key objectives of the Policy:

• To create an eco-system for a globally competitive Electronic System Design and Manufacturing (ESDM) sector in the country.

• To build on the emerging chip design and embedded software industry to achieve global leadership in Very Large Scale Integration (VLSI), chip design and other frontier technical areas.

• To build a strong supply chain of raw materials, parts and electronic components.

• To increase the export in ESDM sector.

• To significantly enhance availability of skilled manpower in the ESDM sector.

• To create an institutional mechanism for developing and mandating standards and certification for electronic products and services to strengthen quality assessment infrastructure nationwide.

• To develop an appropriate security ecosystem in ESDM.

• To create long-term partnerships between ESDM and strategic and core infrastructure sectors – Defence, Atomic Energy, Space, Railways, Power, Telecommunications, etc.

• To become a global leader in creating Intellectual Property (IP) in the ESDM sector by increasing fund flow for R&D, seed capital and venture capital for start-ups in the ESDM and nanoelectronics sectors.

• To develop core competencies in strategic and core infrastructure sectors like telecommunications, automotive, avionics, industrial, medical, solar, Information and Broadcasting, Railways, etc through use of ESDM in these sectors.

• To use technology to develop electronic products catering to domestic needs, including rural needs and conditions, as well as international needs at affordable price points.

• To become a global leader in the Electronic Manufacturing Services (EMS) segment by promoting progressive higher value addition in manufacturing and product development.

• To expedite adoption of best practices in e-waste management.

• To source, stockpile and promote indigenous exploration and mining of rare earth metals required for manufacture of electronic components.

To achieve these objectives, the policy proposes the following strategies:

• Creating eco-system for globally competitive ESDM sector.

• Promotion of Exports.

• Human Resource Development.

• Developing and mandating standards to curb inflow of sub-standard and unsafe electronic products.

• Create a complete secure cyber eco-system in the country, through suitable design and development of indigenous appropriate products through frontier technology/product oriented research, testing and validation of security of products.

• Creating long-term partnerships between domestic ESDM industry and strategic sectors for sourcing products domestically .

• Providing Defense Offset obligations for electronic procurements through ESDM products.

• Creating ecosystem for vibrant innovation and R&D in the ESDM sector including nanoelectronics.

• Creation of an Electronic Development Fund.

• Supporting and developing expertise in the electronics in other sectors of economy: automotive, Industrial, medical, solar photovoltaics, Information and Broadcasting, Railways etc.

• The strategy includes various initiatives to facilitate environment friendly e-waste handling policies.

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