Indian market demand for displays seen at $60 bn in 5 yrs: Report

Indian market demand for 'displays' over the next five years is projected to be cumulative USD 60 billion between 2021 and 2025, amid a growing consumer market for display-centric products and thrust on electronics manufacturing, according to a report by ICEA.

Releasing the industry report, Ajay Prakash Sawhney, Secretary, Ministry of Electronics and IT, said that time has now come for the country to attract investments in display fab units.

"We have to get started somewhere. As in the case of logic wafer silicon fabs, we have gone to the market in recent period with request for expression of interest and both international and major Indian entities have come forward expressing interest of various kind in this area. We are hopeful that we will be able to take this process forward based on what we get from the expression of interest received and extensive discussions we had with major players in this space," Sawhney said at a virtual event by India Cellular and Electronics Association (ICEA).

 

The ICEA report noted that India has steadily grown into a leading consumer market for display-centric products.

"However, India does not currently have a local display manufacturing industry and all display components have to be imported from overseas suppliers," ICEA said.

The domestic consumption of display components exceeded USD 5 billion in 2020 alone, it said adding that the demand for display components in India is expected to sharply rise over the next five years, and estimated to be over than USD 10 billion in 2025, mainly resulting from the 'Make-in-India' strategy to promote electronic manufacturing.

The report by ICEA in collaboration with Grantwood Technologies, noted that the overall demand for displays in India for 2020 was about 253 million units valued at USD 5.4 billion.

Given the manufacturing plans for mobile phones, TV and IT hardware products, it is expected to grow at a healthy growth rate of 29.5 per cent to 922 million units or USD 18.9 billion by 2025.

Summing up the demand in coming years, it said, "The cumulative Indian market demand for displays over the next five years is likely to be USD 60 billion between 2021 to 2025." This includes requirements for domestic market, as well as exports.

The demand for displays is expected to increase multi-fold, and creation of a formidable India-based display industry will require mix of market-pull, capital and know-how.

"India has already established a substantial market-pull for display components and this market pull is accelerating to be a substantial fraction of the global display industry," ICEA said.

Pankaj Mohindroo, Chairman, India Cellular and Electronics Association, said a coherent national policy is required to mobilise private sector companies to bring together capital and knowhow to establish display fabs.

Globally, the report said, display was a USD 100 billion industry in 2020 and is projected to grow over USD 125 billion in revenues by 2024. The mobile phone and TV product segments account for greater than 65 per cent of the industry revenues while notebooks, monitors, tablets, automotive and other applications account for the rest.