Mobile phone makers' body ICEA has expressed concerns over no breakthrough on display manufacturing despite capex support from the government, the industry body said on Tuesday.
India Cellular and Electronics Association (ICEA), whose members include Apple, Foxconn, Dixon, Lava, Vivo, etc, said despite being the world's third-largest consumer of display products (accounting for 7 per cent of global revenue), the nation has an insignificant domestic production.
"We have an excellent 50 per cent capex support on parri passu basis as offered by India Semiconductor Mission (ISM) further supplemented by the state governments, but we have not been able to break ground beyond display assembly."
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"Display has a major 15-20 per cent position in the Bill of Material which is close to the other logic, memory and other semiconductors. It's a matter of great concern," ICEA Chairman Pankaj Mohindroo said in a statement.
ICEA sees absence of display manufacturing in India as a unique opportunity for international companies seeking to diversify their display supply chains beyond certain geographies, thereby complementing the domestic demand and also export from India.
"This sector needs special attention and we are determined to make India a strong display manufacturing nation," Mohindroo said.
The government has received interest from the Vedanta Group to set up a display fab in the country but their proposal is still under evaluation.
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ICEA said it recently led an industry delegation to the prestigious SID Display Week event at San Jose, US, which aimed to showcase India's potential and readiness to become a display manufacturing hub for the world and attract investments in this domain.
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