Bengaluru– India’s booming electronics’ market is projected to more than double to $228 billion in three more years from over $100 billion in fiscal 2016-17, said the industry’s trade body on Tuesday.

“India’s ESDM (Electronics System, Design & Manufacturing) sector is poised to reach $228 billion by 2020 from $100 billion in 2016-17, growing at 16-23 per cent annually,” said a joint report of the India Electronics and Semiconductor Association (IESA) and global services firm Ernst & Young (EY) at a summit here.

The report’s forecasts are based on the country’s GDP (Gross Domestic Product) growth, currency movement, inflation, trade pacts, consumer sentiments, policies, investments, manufacturing entities and value addition.

“The manufacturing of electronic products is expected to increase in five years from 17 per cent annual growth, while the electronic manufacturing services segment is projected to grow 42-68 per cent over the next five years to $6-13.2 billion from $1 billion in 2015,” Association Chairman K. Krishna Moorthy told reporters here.

Digital revolution and the government’s thrust on using technology to improve delivery of its public services have opened up huge opportunities to develop and manufacture innovative products and solutions across the country.

“As we see our industry scale up in value addition and value proposition, we are focusing on design and IP (Intellectual Property) ownership to boost and sustain the manufacturing eco-system,” asserted Moorthy.

Highlighting the involvement of state governments in the 12th edition of the IESA’s Vision Summit, Association President M.N. Vidyashankar said designing was a key component for innovation and development of electronic products.

“We are promoting local manufacturing and focusing on design-led growth of the ESDM sector. With Rs 745-crore budgetary support through schemes like M-SIPS and EDF, we believe India will be the next manufacturing powerhouse,” asserted Vidyashankar, a former Additional Secretary of the Karnataka government.

The Association has projected Rs 1,700-crore investments in the sector under the central government’s M-SIPS (Modified Special Incentive Package Scheme) and EDF (Electronic Development Fund), which are aimed at increasing domestic production of electronics under the ‘Make in India’ initiative.

The Association’s Technovation Sarabhai Award was given to the state-run Indian Space Research Organisation (ISRO) Chairman A.S. Kiran Kumar for leading the country’s space missions for various applications and exploration.

The Association works with the central and state government in framing policies and taking measures to scale up indigenous production to meet the rising demand for electronics. (IANS)