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Thursday, April 25, 2024

‘Electronics producers uncompetitive due to high import tariffs’

India’s policy of keeping high tariff on import of electronic components to protect the domestic industries is proving counterproductive to its plans such as Production Linked Incentive (PLI) scheme and making the Indian electronics manufacturing industry uncompetitive compared to other electronics manufacturing nations, the Indian Cellular and Electronics Association (ICEA) said in a report.

Comparing the performance of the India to other countries such as China, Vietnam, Mexico and Thailand, which were the major gainers of electronic products export over the last 20 years, the ICEA said that while all of them had focussed on attracting foreign direct investment, improving domestic capabilities and exports, India had one major difference in policy when it came to tariff.

“The main difference in their policy approach is the tariff policy of India compared to others. India has…

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