15 & 31 August 2018

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Govt mulls duty-free import of capital goods to skirt WTO


Jobs-linked scheme may replace export incentives that are in breach of trade rules. The government is working on a scheme to allow duty-free import of capital goods by the domestic industry, a measure that may be linked to employment generation. The initiative could be an alternative to some of the export incentive schemes that will now have to be phased out or withdrawn because of their incompatibility with global trade rules, a government official told Business Line. “At present, exporters can import capital goods duty free under the Export Promotion Capital Goods (EPCG) scheme and also under initiatives for EOUs (export oriented units) and SEZ (Special Economic Zone) units. However, these schemes are no longer compatible with World Trade Organisation (WTO) norms and have to be phased out or withdrawn. The new scheme is being designed to offer similar benefits to manufacturers within the boundaries of WTO norms,” the official said.


(Business Line, August 20, 2018)




India moves closer to electric-powered public transport; Fin Min approves Rs 3.5K cr for 10 cities


The union finance ministry has approved approximately Rs 3,500 crore for second phase of Faster Adoption & Manufacturing of Hybrid and Electric vehicles (FAME) policy to press on the sale of electric automobiles in India, Moneycontrol has learnt. The ministry of finance has approved a corpus of about Rs 3,500 crore to fund FAME II scheme over the next five years,” a source in the know said. Department of Heavy Industries (DHI), who is spearheading the scheme, had sought close to Rs 12,256 crore from the government to fund the scheme which will provide subsidy to only public transport like buses and passenger fleet (cabs) in the second phase. Moneycontrol first reported in June that finance ministry had returned the draft note circulated by DHI after it raised questions over the funding mechanism of the scheme. An official had told Moneycontrol that the proposal sent by DHI was returned by finance ministry seeking a more comprehensive scheme framework. FAME scheme was launched by union ministry for heavy industries in 2015 for two years to subsidise the purchase of electric vehicles. Under the scheme, the government provides subsidy up to Rs 22,000 on two-wheelers, Rs 61,000 on three-wheelers and Rs 1,87,000 on four-wheelers. The first phase of the scheme, which was to end in March 2017, was extended till March 2018. As the draft for the second phase failed to get the government’s nod till then, it has been extended till at least September this year.


 (Moneycontrol, Aug 03, 2018)



Hyundai plans to introduce full range of electric vehicles in India  


South Korean auto major Hyundai Motor is planning to introduce its full range of electric vehicles in India as it tries to expand its product offerings to compete with market leader Maruti SuzukiNSE 0.43 % for a bigger share of the Indian roads.  Close on the heels of Maruti Suzuki announcing plans to manufacture electric vehicles by 2020, Hyundai has commissioned a study to explore manufacturing of such vehicles in India. This will be in addition to introducing the globally successful Kona SUV by importing CKD packs to India by the second half of 2019. YK Koo, MD of Hyundai Motor India, said the aim is to have a range of electric cars in India and cater to buyers in different price segments. The company is currently studying various aspects of battery manufacturing and sourcing parts from the local market “We will be adopting a top down approach for EVs in the country. 





 SECTION I - POLICY SCAN                                                           



New ecommerce policy will help India in WTO negotiations: Commerce department    


The commerce department has asserted that India requires a domestic ecommerce policy as there was pressure from developed countries on it to take part in WTO negotiations on online trade and also to counter China’s domination in the digital space.  The commerce department’s draft ecommerce policy has come in for criticism from several quarters including government departments and ministers, as reported by ET on Wednesday. But a commerce department official said such a policy was needed by India to safeguard its interests and other ministries and departments were shying away from their responsibilities.  The idea of the policy was to create a robust information base, facilitate an ecosystem for domestic economy, strengthen consumer protection in the ecommerce space, ensure safety of personal and community data in the country and become WTO compliant, said another official justifying the department’s initiative. The controversial draft policy on ecommerce, which proposes up to 49% foreign direct investment (FDI) in inventory-based ecommerce and pitches for data localisation, has irked various ministries and government departments, with many questioning the rationale behind key proposals. 


Sources told ET that some ministries and departments feel the draft policy encroaches on their domain as it deals with many issues outside the remit of the commerce department, which is looking to issue a draft within the next 10 days after incorporating the views of stakeholders.   These ministries have expressed their reservations during consultations and are expected to put their objections in writing, the people said. 


The department of industrial policy and promotion (DIPP) did not favour an upfront FDI cap for inventory based models. The policy proposes up to 49% FDI in such Indian-controlled entities for 100% locally made goods.

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The second draft of e-commerce policy incorporating inputs from stake-holders is expected to be placed in public domain in a fortnight, a senior official said.  “The Government wants the e-commerce policy to be in place as soon as possible,” the Joint Secretary.    In the Commerce and Industry Ministry, Sudhanshu Pandey, said at a roundtable organized by traders’ body CAIT.  The government has an open mind regarding e-commerce policy and based on suggestions and inputs received from the stakeholders, the second draft of the e-commerce policy would be placed in public domain likely in the next fortnight, the official said. The draft National E-Commerce policy, of which MediaNama has a copy (pdf), includes debatable requirements like data localisation, an audit of foreign companies’ source code, mandating RuPay on every e-commerce website, using Jan Dhan account transactions to create a creditworthiness profile of individual users, amongst others. The 19-page policy is representative of the interests of the government-constituted ecommerce think tank. It prioritizes e-commerce brands which have already been set up in India, and has clauses that discourage the free inflow of foreign capital in e-commerce. This could end up complicating things for the entire Indian e-commerce ecosystem, including consumers. The membership to the think tank excludes foreign-based brands like Amazon, Uber, Visa, MasterCard and others while accommodating companies started in India (though not necessarily incorporated here) like Flipkart, Jio, Ola, MakeMyTrip, Infosys, WIPRO, Paytm, and so on. Like the National Education and the National Telecom Policies which guide the government’s approach for over 10 years, the draft National Electronic Commerce Policy will steer the approach of the government towards e-retailers, digital service providers and anyone else who conducts e-commerce in India.

(Medianama, Aug 07, 2018) & (ET, Aug 10, 2018)





 SECTION II - INDUSTRY  SCAN                                                                                            



Hybrid is a better route for India: ACMA


With the government finalising the second phase of FAME (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles) India, the auto ancillary makers are a worried lot. The industry fears that the policy could take a heavy toll on it. In its annual industry performance review, the Automotive Component Manufacturers Association of India (ACMA) recommends that the government should define a technology agnostic road map for xEVs (hybrid and electric vehicle) with well-defined roles and responsibilities for each stakeholder and mandate standards for components for xEVs and charging stations to prevent cheap/substandard imports. In an interview with Fortune India, Vinnie Mehta, director general, ACMA, explains the industry’s concerns.  

(Fortune India, Aug 27, 2018)


Shipping ministry to seek tax rebates for CEZs


To get investors for its ambitious Coastal Economic Zone (CEZ) scheme, the Ministry of Shipping is pitching for tax concessions on the lines of what is available for special economic zones. This, it is felt, could give a boost to the project after the government decided to give a push to the logistics and warehousing sectors by declaring them as infrastructure. The ministry is likely to approach the Prime Minister’s Office for the same. “We are in the process of seeking approval from various stakeholders including NITI Aayog, Department of Expenditure, DIPP and road ministry and would write to the PMO,” an official in the know told Business Standard. The Union government had proposed setting up CEZs, one each on the east and west coast of the country.


(Business Standard, August 21, 2018)



For now, no safeguard duty on solar equipment imports


The finance ministry has stayed the imposition of safeguard duty on solar panels and modules imported from China and Malaysia until the writ petition challenging the decision is disposed off by the Orissa HighCourt. In a letter to all chief commissioners of customs on Monday, the ministry said “in compliance with the interim directions issued by the high court of Odisha, it has been decided not to insist on payment of safeguard duty for the time being”. 

It has, however, added that solar equipment from these two countries should be “in respect of said safeguard duty, assessed provisionally on furnishing of a simple letter of undertaking/bond”. It ensures that if the court later upholds the duty, it can be imposed on the cleared consignments as well. In mid-July, the Directorate General of Trade Remedies (DGTR) had recommended imposing safeguard duty of 25% on solar panels and modules imported from China and Malaysia for a year, followed by 20% for the next six months, and 15% for another six. The DGTR in its report said the duty was necessary to protect the domestic solar manufacturing industry. 

(ET, !4th Aug, 2018)


Foundation stone of permanent campus of NIELIT in Sikkim laid


Union Minister for Electronics& Information Technology and Law & Justice Ravi Shankar Prasad remotely laid the foundation stone of a permanent campus of the National Institute of Electronics & Information Technology (NIELIT) at Benthang in Pakyong, East Sikkim from Guwahati on Saturday. The function was also attended by the Minister for Health Care, Human Services and Family Welfare Arjun Kumar Ghatani, who represented the state of Sikkim in One Digital North East Summit. The state government has allotted 8.54 acres of land for setting up of the National Institute of Electronics and Information Technology NIELIT in the state. The Union Minister also laid foundation stone for setting up of NIELIT at Shillong in Meghalaya, Guwahati in Assam and Lunglei in Mizoram on the occasion.

On the occasion, the Digital North East: Vision 2022 was officially released by the Union Minister in presence of the Chief Minister of Assam Sarbananda Sonowal, Chief Minister of Tripura Biplab Kumar Deb, Chief Minister of Meghalaya Conrad K Sangma, Deputy Chief Minister of Arunachal Pradesh Chowna Mein, PHE Minister Nagaland Jacob Zhimomi, IT Minister Meghalaya Hamletson Dohling, Secretary Department of Telecommunication, Secretary DoNER, officials from the government of India and NE states.

(NorthEastnow, Aug 12, 2018)


US-China trade war: What should we do?


Trade is War’ has become a live metaphor for contemporary world politics in the wake of coercive attempts by the US and China to restrict the flow of goods and services. The US has imposed additional duties on Chinese products while Beijing has responded by raising duties on American imports. The US says trade with China is highly tilted in the latter’s favour, as Beijing makes use of American technology and floods the US market with its products while restricting its own market to American businesses. As a result, the two economic superpowers are indulging in a tariff war where each player wants to extract the best deal for itself. And both the economic giants say the reasons for the trade wars are their domestic economy and local jobs.

Technology has become a key battleground. The Qualcomm and NXP Semiconductor deal fell apart as Chinese regulators let the deadline for approvals pass. One of the biggest mergers of the semiconductor sector in particular and electronics industry in general is the latest casualty of this trade war. Not many are mincing words in saying the deal is a direct casualty of the trade war between the two nations. Even as they improve their ties with the European countries, the trade relations between these nations deteriorates. 

(Indian Express, Aug 13, 2018)



Govt Extends Date for Filing GST Monthly Sales Returns by One day


The government has modified the due date for filing of final GST sales returns by businesses with turnover exceeding Rs 1.5 crore to the 11th day of the succeeding month. Currently, such businesses are required to file GSTR-1 or final sales return of a particular month by the 10th day of the succeeding month.
In a notification issued today, the Central Board of Indirect Taxes and Customs (CBIC) has stipulated that details of outward supplies for July 2018 to March 2019 has to be filed by the 11th of the succeeding month.
For businesses with turnover up to Rs 1.5 crore, and who are required to file quarterly returns, the GSTR-1 giving details of outward supplies has to be filed by the last date of the subsequent month.

(ET, 11th August, 2018)




India to Explore China’s Participation in ISA


The Ministry of New and Renewable Energy (MNRE) has been asked to explore with its Chinese counterpart the possibility of China joining the International Solar Alliance (ISA), a move that could be instrumental in improving the access to solar energy among other member-nations. This comes after Prime Minister Narendra Modi asked Chinese President Xi Jinping for China’s participation in ISA at the recent BRICS summit in Johannesburg, given the latter is the leading solar energy player in the world. ISA is a treaty-based organisation meant to promote development of solar energy in countries between the Tropic of Cancer and Tropic of Capricorn. 
“PM has extended the membership to China since ISA will benefit from the latter’s participation,” the Ministry of External Affairs said in a recent letter to MNRE. Meanwhile, the Chinese president was also forthcoming to the proposal, said the letter documenting the exchange between the two leaders.  ISA interim director general Upendra Tripathy agreed that China joining the inter-governmental organisation would be a big positive for the 121member-nations. 

“It will collectively benefit the ISA member-nations. Other members of the ISA family will get better opportunity to interact with China, and even China will be able to understand the market better. In future, even if manufacturing becomes more decentralized, China will continue to play an important role,” Tripathy said. China leading in terms of solar PV generation globally, the country’s participation will also provide other member-countries access to better technology and financing options, Tripathy added. ISA has, at present, 121 member-countries between the tropics. As the ISA membership is being thrown open to the countries beyond the Tropics — it is one of the main agenda of ISA’s first general assembly scheduled in October — the Indian government has taken on a “priority” basis the task of having China on board.

(Economic Times, Aug 10, 2018)


Apple's mettle in India tested in squabble over anti-spam app


In India, the world's second-biggest smartphone market, Apple Inc's normally deft management of government relations is being put to a fresh high-stakes test. For almost two years, Apple has battled India's telecom regulator over a demand that it allow the use of the government's anti-spam app. Non-compliance, the watchdog threatened last month, could result in phones being "derecognised" from the country's networks, meaning they would no longer function.  It is just one of several headaches the Cupertino, California-based company is nursing in India - a market it calls a top priority but where it has just 1 percent share. 
Apple has not gotten the tax breaks it has sought for suppliers to expand local manufacturing - key if it is to avoid steep import duties that have made its iPhones, already pricey for many Indian consumers, even more expensive.  Local content prerequisites have also stopped the U.S. tech giant from opening its own stores. The lack of direct sales channels has helped make it vulnerable to discounting and prompted it to recently embark on a major overhaul of its retail strategy. 


(ET, Aug 09, 2018)



Patriotic tunes but no bedlam for Ikea's Indian debut 


Ikea's first Indian outlet opened on Thursday, with more than 200 eager shoppers queueing in the underground car park to escape the heat as a military band played a crowd-pleasing medley inside. 
The store in the southern city of Hyderabad is the first of 25 outlets the Swedish furniture giant hopes to open by 2025 across the country of 1.25 billion people. 
"I've come all the way from Bangalore (575 kilometres, 357 miles away). I am excited to see what's there," garment factory employee Krishna Mohan Dixit, 39, who began lining up 90 minutes before the 10 am opening, told AFP. 


(ET, Aug 09, 2018)



News digest: Audit of e-commerce firms, insolvency cases, and more


The National Anti-profiteering Authority (NAA) under the goods and services tax (GST) has stepped up pressure for a pan-Indian audit of the e-commerce industry on the basis of an order linked to Flipkart.NAA Chairman B N Sharma has written to his indirect tax department counterpart for an industry-wide audit after the director general (audit) turned down a request for investigating e-commerce firms.  he government on Tuesday raised import duties on 328 textile products by up to 20 per cent in the fourth such instance of higher tariffs being placed on inbound goods in 2018.  India had raised basic Customs duties on 43 broad categories of goods, including electronics, in this year's Budget. 

(BS, Aug 08, 2018)




India, South Korea Trade and Investment Ties: Focus on CEPA, Make in India


South Korean President Moon Jae-in undertook a four-day visit to India in early July, keen to improve bilateral economic and business ties between Seoul and New Delhi. High on the visiting leader’s agenda was renewing South Korean interest in Prime Minister Narendra Modi’s flagship ‘Make in India‘ campaign. Moon and Modi were both present as Samsung, the South Korean multinational conglomerate, used the visit to launch its largest global mobile factory in Delhi’s National Capital Region. After formal talks, the focus was on finding ways to ease bilateral investment challenges, deepen economic ties, and upgrade the current Comprehensive Economic Partnership Agreement (CEPA).  India and South Korea also aim to increase trade and investment to US$50 billion by 2030 – from the current US$20 billion.

(India Briefing, Aug 08, 2018)


Messe Muenchen India to hold trade for electronic industry



Messe Muenchen India will organise electronica India and productronica India next month to unlock the increasing market opportunity for electronics industry in India. The trade fair, which will focus on technological trends in automotive electronics, mobile manufacturing, technology for printed circuit board (PCB) manufacturing, is expected to see 470 companies representing 18 countries.  The three-day event at Bangalore International Exhibition Centre, between September 26 and 28, will debut many companies this year such as Littelfuse Far East Pte Ltd, Murata Manufacturing Company, Hanwha Precision Machinery (Samsung), Mahindra CIE Automotive, Mouser Electronics India, ROHM Semiconductor India and TTM Technologies in addition to the regular participants.


(ET, Aug 07, 2018)


Toreto launches fast car chargers in India, price starts from Rs 499


Portable electronic device manufacturer Toreto has expanded its product portfolio in India with the launch of two fast car chargers in India. The newly introduced chargers -- Rapid charger 13 and Rapid charger 16 -- are priced at Rs 999 and Rs 499 respectively. Rapid charger 13 has current input and output of DC 12-24V and 3.4A respectively to ensure superfast charge. The device comes with four different ports -- Qualcomm 3.0, one type C and two USB ports. It is said to give an output of 7.4A with Qualcomm 3.0 port.  Rapid charger 13 is compatible with all Android and iOS devices along with other devices having type C charging pin. It has a 1.8metre wire for easy access. Rapid charger 16, the company claims can recharge two devices simultaneously with the help of dual charging ports for iOS and Android phones. The ports available include USB 2.0 and type C. It has a current input and output of DC 12-24V and 3.4 A respectively.

(Gadgets Now, Aug 06, 2018)


Opportunities and challenges in the recommence sector in India


Recommerce, or reverse commerce, is defined as “the recovery of products over electronic systems, such as the Internet, or through physical distribution channels”. Recommerce refers to a practice in which those who have bought products can “sell back” obsolete or otherwise unwanted products in exchange for cash or a different product. The aspirational nature of the Indian consumer is what recommerce appeals to. Welcome to the ‘Statusphere’ – the feeling of status elevation by using a better quality/brand product or better features at a similar price point.

(Your Story, Aug 04, 2018)


India’s Local Language Demand Grows as Language-Related Startups Make Waves


India’s local language needs are fuelling demand for both language services and outright new solutions and a number of language-related startups across the country are getting attention and funding. A recent symposium in New Delhi highlighted the importance of its local languages. India’s Ministry of Electronics and Information Technology (MEITY) Secretary Ajay Prakash Sawhney emphasized in the event the need for “barrier-free communication,” and said real-time translation to all major Indian languages was the goal.

(Slator, Aug 03, 2018)


India successfully develops next-gen software-defined naval radios

India's Defence Research and Development Organisation (DRDO) has developed a next-gen military radio communication system for the country's naval forces. The system is expected to assist in the networking of naval battlefield resources on the move and enhance the operational capabilities of the Indian Navy. The DRDO, after spending eight years on the Integrated Development of Software-Defined Radio for Navy (INDESDR) project, has successfully completed user trials for five different software-defined radios capable of addressing the needs of the Indian Navy, including surface ships, specific air platforms (Dornier) and marines. 


(Sputnik Intl, Aug 03, 2018)



The Electronics Chemicals Market: Global Outlook to 2023 featuring Key Players Eastman Chemical, BASF SE, Huntsman Corp, Honeywell Intl, and Air Products & Chemicals:


The "Global Electronics Chemicals Market - Segmented by Product Type, Application, and Geography - Growth, Trends, and Forecast (2018 - 2023)" report has been added to Research And Markets.com's offering. The electronics chemicals market is expected to witness a CAGR of approximately 5.5% during the forecast period, primarily driven by the increasing demand of printed circuit boards (PCBs) for electronic devices. The growing smartphone industry is further propelling the demand of integrated circuits (ICs), which is also likely to stimulate the electronic chemicals market.


(Cision news, Aug 03, 2018)




History of e-governance in India


E-governance is usually defined as distribution of government services and information to the public using electronic means. The means used for the distribution of information are often referred to as Information Technology or ‘IT’ in short forms. Use of IT in the government facilities is an efficient, speedy and transparent process for distributing information to the public and other agencies, and for performing government administration activities. The term governance may be termed as the process by which society navigates itself. In the process of e-governance the interactions between the State, Private Enterprise and Civil Society are being increasingly acclimatized and revised through the influence of Information and Communication Technologies (ICTs), constituting the phenomenon of e-governance. We can look the other way but the reality is that the time is changing and so are the means of communication and governance.

(State Times, Aug 03, 2018)





Information Technology


IT Dept proposes e-processing to issue certificate for nil/lower withholding tax


Bid to minimize human interface, reduce compliance burden on the assesses. The Income Tax Department has proposed to amend rules related to obtaining certificates by assessees for deduction of income tax at lower rates or no deduction. The Department has invited comments from various stakeholders by September 4. The amended rules are likely to be notified by mid-September.

Recipients of income in India have the option of filing an application under Section 197 of the Income Tax Act with the jurisdictional assessing officer, requesting for lower or nil withholding of taxes as the case may be, based on merit. The application needs to be filed in Form 13 along with requisite enclosures as prescribed. Traditionally, Form 13 was filed manually. However, certain jurisdictions such as Mumbai and Karnataka recently provided the option of filing the same online.


(Business Line, Aug 20, 2018)



Infosys drops on CFO exit



Unlikely to make much impact on the company’s performance, say analysis. The shares of IT major Infosys closed 3.2 per cent lower at ₹1,385.20 on Monday on the BSE, reacting to the Saturday decision of its Chief Financial Officer MD Ranganath to step down from the company. Ranganath, who took over as CFO in October 2015 and spent 18 years in India’s second-largest software exporter, will exit the company on November 16, said Infosys. Analysts believe that his exit will not make much impact on the company’s performance. “His exit is a loss to the company. And is a negative in the short term. However, the way Infosys has managed the changes at the CEO level and other senior management exits, we are confident that Ranga’s exit will not have any material impact on Infosys’ medium- to long-term performance,” said Urmil Shah, Research Analyst and Associate Vice-President, IDBI Capital. 

(BusinessLIne, Aug 20, 2018)




Industrial Tech too Needs Flexi Data Rules


Industrial technology services providers say that data protection regime in India should be flexible to support research and development, intellectual property (IP) creation. 

Companies such as L&T Technology Services (LTTS), Siemens and others say that as the country is gradually “moving up the value chain” especially in manufacturing sector and creating more IPs, data protection policy with balanced approach in localisation will encourage innovation. The ministry of electronics and information technology brought in India’s data protection bill to implement laws for addressing privacy and data security on July 27. On the same day, a committee, led by former Supreme Court judge BN Srikrishna, submitted its report explaining the need for data protection and how it should be achieved by carefully balancing possible enforcement benefits of (data) localisation. 

(ET, Aug 14, 2018)




Infosys to go ahead with Kolkata centre


Infosys announced on Monday commencement of work for building a software development centre in Kolkata, even without it getting the special economic zone (SEZ) status, a key demand that delayed the product. The Bengaluru –based IT major will initially invest Rs. 1 billion without any kind of tax sops from the state government, West Bengal government had allotted 50 acres of land in Rajarhat township near Kolkata to Infosys in 2010. Despite paying Rs 750 million to acquire the land, Infosys didn't start construction due to differences over taxation issues. After Mamata Banerjee charge as the Chief Minister in 2011, the project was put on the backburner, as her party, the Trinamool Congress, was opposed to the idea of turning the centre into a Special Economic Zone(SEZ).

(BS, 14th Aug, 2018)




IT Ministry urges e-commerce players to set up data centres locally, at the earliest


With India tightening its data security regime, the government recently told e-commerce giants such as Amazon to set up their data centres in the country at the earliest. “I have emphasised in my meeting with top authorities of Amazon India that they must urgently explore the possibility of setting up their data centre in India,” Ravi Shankar Prasad, Minister of Electronics and Information Technology and Law & Justice, told BusinessLine in an interview here. The meeting included Amit Agarwal, Global Senior Vice-President and Country Head of Amazon India. When contacted by BusinessLine, Amazon India declined to comment. Prasad said this initiative must be taken on a priority basis, as generation of data is integral to e-commerce operations. Therefore, safety, security and element of consent for transborder migration of data are equally important. “They (Amazon) are welcome to do business in India, as it offers them a good market. But India and Indians are equally concerned about their data,” Prasad said, adding that India is one of the largest markets for Amazon so it should not be reluctant to set up a server here.

(BusinessLine, Aug 13, 2018)




Big boost to Modi’s ‘Digital India’; e-payments surge over 8-fold in 5 years to 2,070 crore


In a big boost to government’s ‘Digital India’ initiative, e- payment transactions recorded a significant jump to 2070.98 crore in 2017-18, Minister of State for Information Technology (IT) said in a reply to a question in Lok Sabha yesterday. In 2013-14, 220 crore e-transactions were recorded. The central government is working with different stakeholders namely smart cities, banks, payment service providers and state to further promote the cashless payments, the minister also said in response to another question. A target of 3,013 crore digital payments transactions has been set by the Ministry of Electronics and Information Technology in 2018-19. The ministry uses a performance scorecard and a bank ranking system to monitor and also evaluate the performance of the lenders. 

(FE, Aug 09, 2018)



India heading for digital boom: Ravi Shankar Prasad


Union Minister for Electronics and IT Ravi Shankar Prasad predicted a digital boom in India and said the country is becoming a hub of electronics manufacturing in the world.  Inaugurating the state-of-the-art Electronics and IT Enclave of Software Technology Parks of India (STPI), Bhubaneswar here on Saturday, Prasad said from mobile manufacturing to automobile and medical electronics to solar power, everything is now being manufactured in the country. Prime Minister Narendra Modi had wished to create an India of 3 ITs - India’s Talents plus Information Technology can be India Tomorrow. “Digital India means empowering ordinary people with the power of technology to reform, transform and develop India. It will bridge the digital divide between the haves and have-nots and bring digital inclusion based on technology which is low cost and development oriented,” he said.  The STPI ELITE that was inaugurated is the biggest in Eastern India. It will promote innovation, entrepreneurship and incubation besides digitally empowering people and creating more employment in Odisha.The Government has been promoting electronic manufacturing in a big way. He said from just two mobile manufacturing units in the country till 2014, the country now has 120 mobile factories in India, employing nearly five lakh people in the last four years.

(Indian Express, Aug 05, 2018)



Exclusive | India moves closer to electric-powered public transport; Fin Min approves Rs 3.5K cr for 10 cities


The union finance ministry has approved approximately Rs 3,500 crore for second phase of Faster Adoption & Manufacturing of Hybrid and Electric vehicles (FAME) policy to press on the sale of electric automobiles in India, Moneycontrol has learnt. The ministry of finance has approved a corpus of about Rs 3,500 crore to fund FAME II scheme over the next five years,” a source in the know said. Department of Heavy Industries (DHI), who is spearheading the scheme, had sought close to Rs 12,256 crore from the government to fund the scheme which will provide subsidy to only public transport like buses and passenger fleet (cabs) in the second phase. 

(Moneycontrol, Aug 03, 2018)







India’s telecom regulator and Apple have likely reached an understanding to end a dispute over the US smartphone maker’s reluctance to support the watchdog’s do-not-disturb (DND) appoints. A middle ground appears to have been found with Apple set to include about 75% of the features that are on the Telecom Regulatory Authority of India’s DND app in its new operating system to be launched in September. However, the iPhonemaker has stuck to its privacy policy, which doesn’t allow access to user call logs and messages. Trai seems to be satisfied with the arrangement mainly because iOS 12, Apple’s new operating system, will allow subscribers to do what DND app does – flag unwanted calls and messages. Trai seems to be satisfied with the arrangement mainly because IOS12, Apple’s new operating system, will allow subscribers to do what DND app does – flag unwanted calls and messages.


(ET, 8th August, 2018)


Xiaomi to Dial into Premium League with POCO Brand


Newly-listed Chinese smartphone maker Xiaomi will soon take the likes of Samsung, Apple and OnePlus head on by launching POCO, a sub-brand in the premium segment in India as well as globally to boostprofitability. Jai Mani has been appointed as the lead product manager for POCO. Mani had served Google for almost four years before joining Xiaomi as the lead product manager for India operations in 2014. 
"As a small outfit within Xiaomi, POCO has the freedom to start from scratch, zeroing in on the product choices that matter. For the first product, we got back to basics and focus entirely on speed. Not just peak performance speed, but actual, real world speed," Mani said in a statement. The executive said that the prices of flagship smartphones have gone past the $1000 (Rs 69,000) mark, while the pace of innovation has slowed down. "We have set out to build something to buck this trend".


(ET, August 11, 2018)


Govt re-skilling IT talent in data analytics space


With IT and telecom industry on the cusp of a data revolution, the need for a skilled workforce, especially in data analytics segment has assumed critical importance. There is a talent deficit in data/analytics segment, as the education system is yet to adapt to the latest technological shift which will completely alter the landscape of the industry, according to experts. There is a massive flow of data over internet which is expected to increase manifold with the advent of new technologies such as 5G, artificial intelligence, internet of things (IoT), virtual reality, robotic process automation, block chain amongst others. With increasing dependency of entities/institutions across sectors on data, there is a greater need for cyber security as data consumption and complexities rise.  Data analytics is fast becoming an integral part of organisations due to factors such as improved efficiencies, greater transparency and speed, and a way of reducing costs. It also enable companies to explore new business/revenue streams with much efficiency.


(DNA, Aug 09, 2018)




DoT asks telcos to give road map for building public Wi-Fi system


The Department of Telecommunications (DoT) has asked telcos to give a three-year road map on how they will build the public Wi-Fi system, signalling that the government may be inclined to place its bets on licensed operators to start with for larger broadband proliferation in the country. 

At a meeting held earlier this week, attended by regulatory heads of all telcos and industry bodies like Cellular Operators Association of India (COAI) and Internet Services Providers Association of India (ISPAI), DoT secretary Aruna Sundararajan laid out the government’s public Wi-Fi ambitions and heard about the roadblocks towards implementation of public Wi-Fi hotspots, people familiar with the matter said. “We have been asked to submit roadmaps and were assured that only if we do not meet expectations, then will the DoT ask registered firms to pitch in,” said an executive present in the meeting. 

(ET, 9th August, 2018)


The telecom regulator has rejected industry concerns over spectrum pricing


For the next auctions, saying it followed international benchmarks and that it expects demand for both 5G and 700 MHz airwaves, which can also be used to offer next-generation services. 
“Spectrum in 700 Mhz band can also be used to launch 5G services. All bands are technology-neutral as of now. Service providers can use any band for any technology,” Telecom Regulatory Authority of India (Trai) secretary Sunil K Gupta told ET. 
He said the 700 MHz band — whose starting price was cut by some 43% from the last sale — already has a developed ecosystem for both, 4G LTE and 5G services. This time round, Trai has cut base price of 700 Mhz frequencies toRs 6,568 crore a unit, from Rs 11,485 crore in 2016, which failed to attract buyers.

(ET, Aug 08, 2018)


Apple set to allow apps to check spam on iPhone


Apple seems to have decided to relent in India and fall in line with telecom regulator Trai’s demand to allow an anti-spam app that tackles the menace of unwanted calls and messages. Sources said the electronics giant has decided to make India-specific changes in its upcoming operating system upgrade — iOS12 — to be launched around September.  The new version will add “certain functionalities” that would make it convenient for users to handle Trai’s D-Not-Disturb (DND 2.0) app effectively and report about spammers promptly.  “It will make it easier to identify the spammers, and will make it smoother for users to report about violators to Trai or any other authority that has been earmarked./  This is not possible at this moment,” sources said.

(TOI, Aug 08, 2018)


Xiaomi's key smartphone component supplier Holitech Technology to start making in India from next year


Looks like Xiaomi's Supplier Investment Summit which was organised in April this year to help non-local component suppliers to start making locally is bearing fruit. One of its key component suppliers, Holitech Technology, on Monday announced that it will start component manufacturing in India by Q1 2019. Holitech Technology has signed an MoU with the state of Andhra Pradesh and will start local manufacturing in the city of Tirupati for Xiaomi. Holitech Technology announced that it would be investing nearly $200 million over three years in India and would be the first manufacturer in the country to manufacture Compact Camera Modules (CCM), Thin Film Transistor (TFT), Capacitive Touch Screen module (CTP), Flexible Printed Circuits (FPC), and fingerprint sensor locally. The local manufacturing also aims to generate 6,000 jobs in three years.

(India Today, Aug 07, 2018)




Defense & Solar Energy


Defence Ministry Yet To Decide On Venue For Next Aero India Show


The Defence Ministry has received requests from a number of states including Gujarat, Rajasthan, Odisha, Tamil Nadu and Uttar Pradesh to host the next Aero India, amid reports that the mega aerospace event is being moved out of its traditional venue of Bengaluru. Official sources said the Defence Ministry is examining the requests from various states and yet to take a call on the venue for the next edition of the event. "The ministry has received requests to host the event from Gujarat, Rajasthan, Odisha, Tamil Nadu, Uttar Pradesh and several other states," said a source. There have been reports that the biennial event - considered the largest aerospace exhibition in Asia - may be organised at the Bakshi Ka Talab air force base in Lucknow in October. Aero India has traditionally been organised at Indian Air Force's Yelahanka air base on the outskirts of Bengaluru.

(NDTV, Aug 13, 2018)


Defence ministry approves procurement of next generation offshore patrol vessels


The defence ministry today approved a long-pending proposal to procure six indigenously manufactured next generation offshore patrol vessels (NGOPVs) for the Navy at a cost of Rs 4,941 crore, officials said.  The go ahead for the project was given by the Defence Acquisition Council (DAC), the ministry's highest decision making body on procurement.  The meeting of the DAC was chaired by Defence Minister Nirmala Sitharaman.  The DAC accorded approval for the procurement of six indigenously designed and manufactured offshore patrol vessels at an approximate cost of Rs 4,941 crore, the officials said.  The NGOPVs will be built in Indian shipyards and will be fitted with state-of-the-art sensor suite with increased endurance, they said. 

(ET, Aug 13, 2018)



Defence firms should target export market : Sitharaman


Defence minister Nirmala Sitharaman on Saturday exhorted the indigenous defence manufacturing industry to look beyond the procurement by Indian forces to tap the lucrative export market for growth. Underscoring the need to balance indigenisation with export centric manufacturing approach for greater economic vitality and sustainability, Sitharaman said the Centre would provide all necessary handholding to the domestic defence manufacturers to scale up production and match up to the stringent quality control norms of the export market. She informed the Centre had already relaxed standing norms of procurement to spur innovation and procure such defence wares, although not in the requirement list, if they are found to be appropriate.“The defence manufacturers can now suo moto innovate and suggest for products which could be used by the defence forces. If they pass the mandatory trial and testing stages, there is an assured market for them,” she announced adding the government would guarantee procurement for at least 10 years.

(ET, August 12, 2018)


Reliance says Rafale contract received from Dassault, not Defence Ministry


Caught in a political storm over the Rafale fighter aircraft deal, billionaire, Anil Ambani’s Reliacne Group denied receiving any contract from the Defence Ministry and said “unfounded and incorrect” allegations are being deliberately made to “mislead people and cloud the issue.” Answering questions ranging from lack of experience to state-owned HAL being overlooked for the deal, the group said Dassault, the French firm that is to supply 36 Rafale fighter jets, choose Reliance Defence Ltd to meet its ‘offset’ or export obligation in the contract and the Ministry of Defence has no role in the selection of Indian partners by the foreign vendors.

(India News, August 08, 2018)



Defence Industrial Corridor Meet to be held In Aligarh


The department of Defence Production which comes under the Defence Ministry will organize a meeting of stakeholders of the defence equipment manufacturers on August 11 in Aligarh. Aligarh is one of the six nodal points of Defence Industrial corridor in UP. Other nodal points are: Agra, Jhansi, Kanpur, Lucknow and Chitrakoot.  Nirmala Sitharaman, Defence Minister, UP Chief Minister Yogi Adityanath, ambassadors of several other countries, officials of Defence Ministry, Ordnance Factories and DRDO are going to attend the meeting.  Around 500 industrialists are going to attend the meeting. Sanjay Prasad, Joint Secretary told TOI that some investment related announcements are likely to be made in this meet. 


(Electronics B2B, Aug 03, 2018)


Strategic Partnership Model for Defence Acquisitions: Ready for the Next Scam?   


The Defence Acquisitions Council (DAC), the apex decision body for all the domestic and international defence acquisitions, as well as for indigenous R&D, finalised guidelines for the vaunted Strategic Partnership (SP) model under which foreign manufacturers would tie-up with identified Indian partners for manufacturing the concerned platforms in India. The DAC, chaired by the Defence Minister, also drew up platform-specific guidelines for the forthcoming acquisition of Naval Utility Helicopters (NUH), which would be the first project taken up under this model. Earlier, the focus of this model was specifically to expand and support private sector participation in domestic defence production in a space hitherto dominated by the public sector, and the model itself provided only for private entities. Under pressure from different quarters in India, and given the obviously weak track record and capabilities of the private sector in defence manufacturing, the SP model also now accommodates partnerships between foreign OEMs (Original Equipment Manufacturers) and public sector entities in India. The model is another of the many “reforms” put in place to improve and manage the notoriously inefficient and ponderous process of defence acquisitions. These procedures and institutional structures have been frequently modified in an effort to further streamline processes, along with other policy initiatives such as higher limits for FDI in defence, the ‘Make in India’ programme etc.


(Newsclick, Aug 02, 2018)




Consumer Electronics


India gets its first LED cinema screen from Samsung at Delhi PVR


Marking a shift from theatre projection systems to LED screens, India got its first LED cinema screen today with the launch of Samsung Cinema LED Onyx at PVR in New Delhi. Boasting of a high dynamic range (HDR) picture quality and an infinite contrast ratio, the Samsung LED screen makes watching 3D movies more realistic through enhanced brightness and consistent colour amplification. “India is a film-loving country. Our movies are full of vibrant colours and rich music. Onyx Cinema LED will be the true solution for such content and we believe this technology will be a ‘blockbuster’ in the film industry. It is going to revolutionize the movie viewing experience,” said Puneet Sethi, vice-president, consumer electronics enterprise business, Samsung India.

(LiveMint, Aug 28, 2018)




With TVs at nearly half price, Amazon's Freedom Sale starts in full swing


Just under a month after concluding its blockbuster Amazon Prime Day sale, the e-commerce giant has released yet another volley of deals and discounts - this time for all its customers. In addition to the expected '80% discounts' on certain categories, the four-day Amazon Freedom Sale, which started today, is also offering interesting deals and cash backs.   With up to 40% off on mobile phones and up to 50% off on electronics, this may be a good time for customers to upgrade to latest models. The sale is offering the much-coveted OnePlus 6 at an extra discount of Rs 2000 on exchange, with no cost EMI offers starting at Rs 5,833 a month.  

(ET, Aug 09, 2018)




Samsung’s Top Selling TVs Get Price Cut By Upto 15% to Maintain its Online-First TV Brands Position


Over the last couple of years, the Indian TV market which was once dominated by electronics goliaths like Samsung and LG has become highly competitive. The Korean electronics giants no longer enjoy the market monopoly they used to have, and much of it is due to the pressure from homegrown brands like Vu, Micromax, BPL, Intex and some Chinese multinationals like Haier, TCL, iFFalcon and Xiaomi.   Xiaomi is the latest entrant in the Indian television market, and the upstart Chinese brand has really taken the market by storm. Its currently selling its Mi TV 4 (55 inch), Mi TV 4A (43 inch) and Mi TV 4A (32 inch) at Rs 44,999, Rs 22,999 and Rs 13,999 respectively. Ever since the entry of Xiaomi into the market, leading TV manufacturer Samsung, has been forced to take a back foot. The brand was even forced to make two major price cuts to its existing product range. The latest price cut apparently took place a just a few hours back, and effects both its budget and premium televisions.

(MySmartprice, Aug 07, 2018)




JBL launches online brand store in India


Harman International, a wholly owned subsidiary of Samsung Electronics Co Ltd, focused on connected technologies for automotive, consumer and enterprise markets has launched JBL’s online brand store. As part of the inaugural promotion, two new JBL products — JBL Go + Bluetooth speaker and JBL T205BT headphone were launched on this website. The online brand store will feature and sell the entire range of JBL consumer products — from headphones and blue tooth portable speakers to home and multimedia solutions, at prices ranging from Rs.650 up to Rs.30,000. To start with, over 200 SKUs including all colour variants are listed on JBL.com, to be followed by more categories and products in the coming weeks. The website will feature pre-sales previews of upcoming products and exclusive new product releases.


(BusinessLine, Aug 06, 2018)







For Glance of ELCINA Activities 2017-18: Please refer: (https://youtu.be/0H0mHxTi9JA)   

Overseas Shows



Taipei International Electronics Show (TAITRONICS)



Taiwan External Trade Development Council (TAITRA)









Taipei Nangang Exhibition Center,  Taipei, Taiwan








Electronica Munich



Messe Munchen



13 November 2018



16 November 2018  



Munich, Germany






Domestic Shows   




Electronica India & Productronica India 2018



Messe Munchen



26 September 2018



28 September 2018



Bangalore International Exhibition Center (BIEC), Bengaluru



http:// www.electronica-india.com



SECTION - V - ELCINA EVENTS, ACTIVITIES & SERVICES                                          

Taiwan – India Industry Cooperation Conference, August 2018


During a presentation by Mr. Rajoo Goel, Secretary General, ELCINA Presented at the 2018 Taiwan – India Industry Cooperation Conference, Taiwan.






 2nd Edition of India-Taiwan Industrial Collaboration Summit, 29th & 30th August 2018

In association with FICCI and Chinese National Federation of Industries (CNFI) along with the support of Electronic Industries Association of India (ELCINA) organized the 2nd Edition of India-Taiwan Industrial Collaboration Summit held on 29th August 2018 at the Federation House, New Delhi.


This was a large delegation of about 80+ Taiwanese Industrialists and Govt. Officials from Taiwan are participated in this Summit. This delegation was led by Ms. Mei-Hua Wang, Vice Minister, Ministry of Electronics Affair of Taiwan. The other officials who are addressed in this forums are Mr Feng-Tzu Tsai, Vice Chairman of Indian Affairs Committee, CNFI and Mr Richard Y. S. Chiu, Deputy Representative, Taipei Economic and Cultural Center (TECC).

 The Industrial Forums Sessions are mainly on Electronic Manufacturing & Industrial Park, Smart City & Green Technologies and Smart Automotive Components. Some of the major Taiwanese companies participated in this Summit are Ben Q, Century Development Corporation, Chiauying Electric Co., Ltd., Getac etc.. and also by Taiwan Electrical & Electronic Manufacturers Association (TEEMA).


On 30th August, 2018, this was followed by a B2B meeting at Hotel Le Meridien, New Delhi. Many Indian Companies had an interactive session during this one on one meeting with these Taiwan companies and the Association. This B2B meetings are mainly focused on Smart City & Green Technologies and Electronic Manufacturing & Industrial Park and Automotive Components.

 Taiwan Delegation at ELCINA, 30th August 2018 

On 30th August, 2018 followed by the B2B meeting, the Taiwan Industrialists and the Govt Officials visited ELCINA and had an interactive session along with the Indian companies.









Post Show Write-up 

“9th Strategic Electronics Summit (SES) – Defence & Aerospace”

5th & 6th July, 2018 @ The Lalit Ashok Hotel, Bengaluru

We are pleased to inform you that this year SES was very successful with over 500 Conference delegates. At any time there were over 175-200 delegates in the Conference demonstrating the quality of the various sessions and the class of Speakers which attracted the delegates.

Further it gives us great pleasure to inform that SES 2018 witnessed unprecedented participation this year with over 300+ participating organisations, 43 exhibitors, 700+ Delegates and Business Visitors as well as Two important Industry Interactive Sessions hosted by BEL & HAL. These two sessions highlighted major opportunities for industry and sharing the way forward to engage with these two Navratnas. To top this, the Conference contained two days of deliberations which were embellished with eminent speakers and subject experts and the Exhibition hosted a unique Soldering competition organized by IPC which would select champions for a global competition.

Presence of Padma Vibhushan Dr. V. K. Aatre-Former SA to RM, Shri Sanjay Jaju ,IAS Joint Secretary, DIP Ministry of Defence, Shri AS Kiran Kumar, Former Chairman ISRO, Padma Shri Dr. Prahlada Ramarao, Maj. Gen. MJS Syali, ADG EME (B)-IHQ of MoD(Army), Rear Amiral Sreekumar Nair-Asst. Chief of Material (IT&S), Indian Navy, Rear Admiral VM Doss-ACNS (Air Material), Indian Navy were the highlights of the event. Since last 9 years, ELCINA has been organizing SES every year and we are happy with the results and grateful for the support from industry and government. Strategic electronics is a major area of interest for the country in which ELCINA aims to contribute by playing the role of supporter and facilitator and enable expansion of the domestic supply chain.

Glimpses of SES 2018

Inaugural Session on 5th July, 2018

Inaugural Session on 6th July, 2018

Winners of defennovation Awards 2018

Audience during the Conference

Vendor Development Session by Bharat Electronics Ltd. (BEL)

Vendor Development Session by Hindustan Aeronautics Limited (HAL)

Exhibition Stalls @ SES

For more photos of the event, please visit http://ses-india.in/




“Indian Printed Circuit Board Industry & Market Research Report

The evolution of miniaturization and sub-miniaturization in the design of electronic equipment led to the emergence of a new technique of inter-component wiring and assembly known as the printed circuit board (PCB). This technology has now become the backbone of electronic devices. They provide the required mechanical support structure and electrical connect for the circuit. In addition to providing the connectivity, they also help to reduce the overall size and enhance the efficiency of the device.

  • By 2020, the electronics market in India is expected to increase with a CAGR of 25.1 per cent to USD 400 billion from USD 104 billion in 2015

  • Currently only 35% of this demand is currently being met by local manufacturers. And for the rest 65%, India is still dependent on imports.

  • Hence, PCB- being the backbone of electronics holds a huge demand in India - Current demand of USD 2.01 Billion represents the demand based on the total PCBs (which includes both the bare board PCBs and the populated PCBs)

  • Current market size for bare PCBs is USD 1.2 Billion - Only 30% of this demand for bare PCBs is currently being met by local PCB manufacturers. And for the rest 70%, India.

You may order the same from by following the below link;



“Opportunities and Challenges in the Strategic Electronics Sector, with special focus on MSMEs”. 

We are pleased to inform you that, a Special Report (update 2016) has been prepared by ELCINA on “Opportunities and Challenges in the Strategic Electronics Sector, with special focus on MSMEs”.  This Report involved detailed research & discussions with varied stakeholders from Defence Sector. It provides updated information as well as recommendations for next steps for Strategic Electronics and policy changes that we believe are required to take the Defence Electronics Sector to new heights. The updated report was released during Strategic Electronics Summit 2016.

This Study provides on insight into the Defence Electronics eco-system in India and is a guide, both for the industry as well as the defence establishment to chalk out a path to success in this important sector. You may order the same from by following the below link;



 Super Capacitor-Market Landscape Study

A Supercapacitor or Ultracapacitor is a charge storage device that stores electrical charges via electrochemical & electrostatic processes and has an unusually high energy density when compared to common capacitors. Due to their beneficial properties like fast charging ability,

superior low temperature performance, long service and cycle life, and reliability, Supercapacitors hold the potential to replace or complement traditional batteries and capacitors in several applications. Supercapacitors are already being used worldwide in number of applications ranging from automotive, renewable energy to electronics. For more details you can visit below link:


For enquiries, call Ms.Tandra Majumder,
ELCINA HOUSE, 422 Okhla Industrial Estate, Phase III, New Delhi - 110 020.
Tel: +91 (011) 26924597, 26928053; Fax: +91 (011) 2692 3440;
Email: tandra@elcina.com  or info@elcina.com


Forthcoming ELCINA-CKM  Programmes

Continuing its efforts to establish an extensive source of knowledge to serve Indian Engineering and Electronics Industry and cultivate a manufacturing culture in the country, ELCINA-Centre for Knowledge Management (CKM), since its launch in 2008, has been conducting various workshops on a variety of topics of interest to the satisfaction of the industry with focus on quality improvement and enhancing competitiveness. It has also been organizing In-house training workshops in companies for the benefit of the industry and the number of workshops is growing every year. 


S No. Training Programs Date Venue

Material Handling & Warehouse Management


20th September, 2018

ELCINA House, New Delhi


Please click the link below for more training programs


Please contact Rajesh Rawat (9911445890) for conducting the In-House / Open-House training programs or mail us at rajesh@elcina.com


Electronic Industries Association of India

ELCINA House, 422 Okhla Industrial Estate, Phase-III, New Delhi 110020 (India)

E-Mail: info@elcina.com Tel: 011-26924597 / 26928053 / 41615985

Website: www.elcina.com



A newsletter published by ELCINA, New Delhi. The information contained in this newsletter is for private circulation only. Despite our best efforts, some errors could have crept in. You are advised to verify authenticity of the information before further use.

Electronic Industries Association of India (ELCINA )

ELCINA House, 422 Okhla Industrial Estate, Phase-III, New Delhi 110020 (India).

E-Mails: info@elcina.com Tel: 011-26924597 / 26928053 / 41615985, Website: www.elcina.com