Karnataka Sets Up Manufacturing Cluster for Taiwanese Electronic Firms
Published By : 12 Aug 2015 | Published By : QYRESEARCH
“Make in India” initiative has made Karnataka to build a manufacturing cluster exclusively for Taiwanese electronic manufacturers. Located near the Bengaluru airport, the cluster is expected to attract investments worth US$500 million from the Taiwanese electronic firms for setting up their units. The state has signed an agreement with Taiwan Electrical and Electronic Manufacturers Association (TEEMA), a group representing more than 3,000 Taiwanese electronic companies. Some of the key electronic firms in the group are Getac Technology Corp., the manufacturer of rugged handheld devices and laptops especially for military and industrial sectors; Waffer Technology Corp., the maker of systems and components for smartphones and laptops; and MobileTron Electronics, the manufacturer of automotive electronics.
According to K Ratnaprabha, the additional chief secretary of Karnataka, the investments will start flowing in the next six to nine months. She further added that 100 acres is a conservative number regarding the area of the manufacturing cluster. It can expand to 1,000 acres. India has been trying hard to attract investments from Taiwanese electronic firms. Karnataka had lost to Maharashtra and Andhra Pradesh regarding investments from Foxconn Technology, the largest electronic manufacturing service provider in the world. Francis Tsai, the chairman of TEEMA stated that in Karnataka, the developed land has attracted the attention of the group.
Taiwanese companies such as Vistron, Delta Electronics, D-Link, and Mediatek have already set up their research and development units in India, especially in Bengaluru. According to Kim Y C Tsai, the CEO and Chairman of Mobiletron Electronics, around 98% of Taiwanese companies are small and medium sized. India requires a lot of such industries who are specialized as world leaders and supply components to larger firms. Kaushik Mukherjee, the chief secretary of Karnataka, stated that the state has evolved as a major destination for the technology companies.