Established in 1978, the Consumer Electronics and Appliances Manufacturers Association (CEAMA) stands as an all-India authority, representing the Consumer Electronics, Home Appliances, and Mobile Industry. It is dedicated to fostering the development of this sector and its components, promoting fair competition and healthy practices among manufacturers, dealers, and stakeholders. With a history spanning 45 years, this non-profit organization relentlessly champions the collective interests of its members, ensuring sustainable growth in the industry.
In an exclusive dialogue with The Interview World, Ravi Shankar Chaudhary, Executive Director of CEAMA, elucidates how the association plays a pivotal role in empowering the domestic consumer electronics manufacturing industry for accelerated growth. Here are the pivotal insights gleaned from his interview.
Q: How is CEAMA facilitating the accelerated growth within India’s electronic manufacturing industry ecosystem?
A: The Consumer Electronics and Appliances Manufacturers Association (CEAMA) boasts a membership of 90, collectively representing the nation’s consumer electronics and manufacturers. Any consumer electronics product you can think of, you’ll find some of the manufacturers among our members. CEAMA’s primary function is policy advocacy.
Through policy advocacy, we pinpoint the pain points of our members concerning compliance and regulations, as well as the support they require from government departments. These concerns are then communicated to the relevant departments and regulators, soliciting their assistance in addressing them. It’s a shared mandate between government and industry to serve the consumers both domestically and internationally. CEAMA drives industry growth by facilitating the resolution of these challenges through engagement with relevant authorities.
Q: Can you provide insights into the effectiveness of governmental responses to the challenges presented, particularly to regulatory bodies and ministries?
A: As previously stated, there exists a symbiotic relationship between the government and industry, with a shared commitment to deliver top-notch products to consumers nationwide. Government departments actively engage us in the formulation of policies, ensuring our participation and input in decision-making processes pertinent to our sector.
Upon policy development, the government solicits our assistance in implementing these initiatives on the ground. This collaborative approach underscores the integral role our members, as manufacturers in the country, play in shaping and executing sector-specific policies.
It’s noteworthy that government departments consistently involve us in numerous policy decisions, and CEAMA proudly contributes to various working groups and consultations organized by these entities.
Q: What key components or aspects are absent within the current electronics manufacturing ecosystem in India, necessitating accelerated growth?
A: Indeed, any product within any industry is fundamentally shaped by the interplay of demand and supply dynamics. Suppliers and manufacturers continuously elevate their manufacturing capabilities and introduce innovations to meet evolving market needs. Despite India boasting a vast consumer base spanning various income brackets and social strata, the adoption of essential consumer electronic products remains relatively low compared to countries with similar economic and social profiles.
Enhancing the penetration of various products is essential for catalyzing industry growth. This progression will occur gradually as incomes rise across different demographics, fostering greater awareness. Today, many consumer electronic products are no longer considered luxuries but rather necessities, driven by factors such as climate conditions necessitating increased air conditioning usage and the growing demand for infotainment options, as evidenced during the pandemic where television served as a primary source of both information and entertainment.
These factors underscore the supportive environment for increased penetration. Nevertheless, significant opportunities exist to further expand the reach of essential consumer electronic goods and white goods.
Q: What factors contribute to the persistent rise in imports of electronic products from China despite government initiatives such as Make in India to boost domestic manufacturing in the electronics sector?
A: Our members and the industry are actively implementing the government’s mandate to enhance the nation’s self-reliance and reduce imports wherever feasible. Long-term industry plans clearly demonstrate a commitment to minimizing and ultimately eliminating reliance on imports. Nevertheless, despite ongoing efforts to bolster domestic manufacturing capabilities, certain components or critical items may still require importation in the short term.
While progress is being made to develop local capacities, manufacturing these items will inevitably take time. However, to ensure consumers’ needs are met without delay, temporary importation is necessary.
It’s crucial to emphasize that the overarching goal for all manufacturers and CEAMA members is to achieve self-reliance in producing these critical components domestically over the long term.
Q: How might the level of self-reliance in the Indian electronics manufacturing industry evolve over the next decade?
A: I believe a 10-year timeline is quite expansive; however, I anticipate significant progress in just five years. Presently, our focus lies on manufacturing the items that are currently being imported. Thanks to initiatives such as the Production Link Incentive and other forms of government support, substantial investments have been made in these priority areas. Consequently, our members are actively formulating plans to bolster domestic manufacturing capabilities. Therefore, within the next five years, I foresee India edging ever closer to self-reliance.
