‘Although NTP 2012 intends to facilitate manufacturing, several infrastructural requirements still need to be looked into’
Where is Jabil’s manufacturing facility located?
Jabil Circuit India (JCIPL) is an EMS company and a wholly owned subsidiary of Jabil Circuit, USA. Jabil’s manufacturing plant was set up at Ranjangaon MIDC, near Pune, on a 20-acre site in December 2004. The plant commenced manufacturing operations in 2005. The current manufacturing area is 111,000 sq ft expandable to 178,000 sq ft. We manufacture an array of products at the site in the consumer, telecom, energy management, and other industries.
What percentage of your products are exported?
Jabil India exports 95% of the products it manufactures—90% to USA and 5% to Europe.
How do you plan to achieving value addition of 45-65%?
Jabil India plans to participate in the electronics clusters facilities being planned and hopes to avail the benefits of the National Policy for Electronics, which is under implementation. The company is expecting to offer services to manufacture electronic and telecom products to increase the value addition within India.
What support do you require from the Indian government?
Although the NTP 2012 does intend to facilitate the manufacturing of telecom products indigenously, several infrastructural requirements need to be looked into (like power, road/rail connectivity, land acquisition, etc). A nodal agency to coordinate manufacturing, electronics, and telecom policy and licensing we believe would increase investor appeal. The subsidies provided should be expeditiously disbursed. Implementation of GST and simplification of indirect taxes regulations should be expedited to to make it competitive for domestic production.
How are you planning to create supply chain ecosystem?
We enjoy a positive relationship with the Government of India. Jabil India would benefit from the expediting of notifications, providing all the benefits announced under the National Policy for Electronics (NPE).
Additionally, we suggest working with state governments, especially in Maharashtra to facilitate land acquisitions and infrastructural support in identified cluster areas so that new industries coming up in these clusters become operational as soon as possible.
What are the challenges with respect to telecom manufacturing?
Jabil would benefit from more stability in telecom policies for both service providers and telecom equipment manufacturers. Additionally, simplified licensing requirements would foster steady demand for telecom equipment.