Demand for displays in India likely to reach $60 billion by 2025: ICEA
This demand is likely to be driven by the government's Make in India policy.
The cumulative demand for displays in India is likely to touch the $60 billion mark in the next five years between 2021 and 2025. The demand for displays within the country, on the other hand, is likely to touch the $10 billion mark during the same time.
The Indian Cellular and Electronics Association (ICEA) in partnership with Grantwood Technologies released a report titled ‘Flat Panel Display - Creation of a Display Industry in India’ on Thursday. The report takes a deep dive into the rationale for the creation of a display manufacturing industry in India while highlighting the role of the infrastructure and supply chain providers in the display industry. Additionally, it recommends a strategy and a plan of action for India.
The report says that India has steadily grown into a leading consumer market for display-centric products. However, it does not currently have a local display manufacturing industry yet despite the domestic consumption of display components exceeding $5 billion in 2020 alone.
“The demand for display components in India is expected to sharply rise over the next five years, which is estimated to be much greater than USD 10 billion in 2025, mainly resulting from the “Make-in-India” national strategy to promote electronic manufacturing,” ICEA wrote in its report.
The report says that globally, display demand reached $100 billion in 2020 and it is projected to grow over $125 billion in revenues by 2024. Of this, mobile phones and TV product segments account for greater than 65% of the industry revenues while notebooks, monitors, tablets, automotive and other applications account for the rest.
Additionally, the report says that India currently consumes 7-8% of the global display market primarily in mobile, TV, and IT hardware products. But now, with an increased focus on electronics manufacturing with schemes like PLI, the consumption of displays is likely to increase multifold.
“There is no Display Fab in India as of now and is the right time that we focus on building this strategic industry in India. Given the manufacturing plans for mobile phones, TV and IT hardware products for domestic as well as export we should aim to build a large display industry with 25 -30% of global market share and create large value addition in India,” ICEA recommended in the report.
“There is no display fab in India today and this is the right time that we direct our focus towards building this strategic core industry in India. A coherent national policy is required to mobilize private sector companies to bring together capital and know-how to establish state-of-the-art display Fabs. The national policy should extend government support towards providing financial incentives to display makers and display supply chain companies who agree to make substantial investments under the private-public partnerships,” Pankaj Mohindroo, Chairman, ICEA said on the occasion.