In a boost to the government’s Make in India policy, it has been reported that prominent brands like Xiaomi, TCL, Skyworth, BPL and Thomson have commenced production of television (TV) components locally. These companies had been importing TV’s for the purposes of sale in India and the move to manufacture components locally gives the Indian electronics manufacturing sector a fillip.
This initiative to locally manufacture components over importing modules comes on the back of government measures to incentivize local manufacturing. Import of TV sets is now subject to a 20 per cent duty over the previously applicable rate of 10 per cent thereby making imports from countries like China and Malaysia unviable. Combined with the increase in tariffs for import of TV sets, the government reduced the duty levied on open cell TV panels to 5 per cent.
It is estimated that as a result of the duty tweaks carried out by the government, the cost of local manufacturing has come down by 5 to 7 per cent thereby incentivizing major brands to scale up their India facilities.
All the major players in the TV manufacturing space including LG and Xiaomi are bullish on the Indian markets and are making plans to completely localise production in what should count as a shot in the arm for the government’s efforts in promoting the manufacturing sector in the country.
As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.
Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.
We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.
Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.