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Submission of Blueprint for Delhi's Electronic City

Submission of Blueprint for Delhi's Electronic City
11th October, 2022

Key Highlights

  • DDC sets the ball rolling on Kejriwal Government’s Electronic City initiative, submits blueprint to Dy CM Manish Sisodia
  • DDC develops a plan to make Delhi the preferred destination for the electronics industry with a dedicated Electronic System Design, Manufacturing and Refurbishment Policy for 2022-27
  • DDC recommends building ready-built factories in a ‘plug and play’ model with low lease rentals and a single-window facility enabling commercial production to start as soon as possible
  • DDC proposes the establishment of an ‘Electronics Design Village’ in Delhi to house global independent design houses, start-ups and original design manufacturers

Upholding the commitment made by the Kejriwal-led Government to the people of Delhi in its employment-focussed ‘Rozgar Budget’ for FY 2022–23, DDC Delhi submitted a detailed blueprint for Delhi’s Electronic City to the Deputy Chief Minister and Minister (Industries), Shri Manish Sisodia on October 11 2022. The recommendations by DDC were submitted by Shri Jasmine Shah, Vice Chairperson (DDC) in the presence of Sh. Gopal Mohan, Member (DDC) and Shri Vijay Chander Vupputuri, Member (DDC).

The blueprint makes detailed recommendations for developing a world-class electronic city at Baprola in South-West Delhi and proposes a dedicated Delhi Electronics System Design, Manufacturing, and Refurbishment (ESDMR) Policy 2022–27 to make Delhi a preferred destination for top electronics design, manufacturing, and refurbishment companies in India and globally.

The policy aims to establish Delhi as a preferred destination for the booming electronics industry, estimated at US$ 2.9 trillion globally, by offering competitive infrastructure and a favourable policy environment for various industry segments. DDC has recommended that all infrastructure for Delhi’s Electronic City be developed through a Public-Private Partnership (PPP) model wherein the Delhi Government partners with a real estate developer identified through a competitive bidding process to develop, manage, and maintain Delhi’s Electronic City on 81 acres of land in Baprola (South-West Delhi). With the completion of the Urban Extension Roadway-II, Delhi’s Electronic City at Baprola will be around 20 mins away from Delhi Airport as well as major national highways such as NH-1, NH-10, NH-8, and NH-2.

DDC has also recommended that an electronic research and design facility be established in Delhi to house global independent design houses, relevant start-ups and original design manufacturers transitioning to product design. The recommended ‘Electronics Design Village’ is envisaged by DDC as working in synergy with Delhi’s Electronic City to build a complete electronics value chain from research and design, manufacturing, and refurbishment to repairs/after-sale services within Delhi.

To ensure that Delhi’s blueprint is aligned with the industry needs, DDC in collaboration with DSIIDC (Delhi State Industrial and Infrastructure Development Corporation), had convened a stakeholder consultation with electronics industry leaders across India in July 2022. The consultations sought their inputs to create a roadmap to help establish Delhi as the preferred destination for various electronics industry segments. The consultation was chaired by Sh. Jasmine Shah, Vice Chairperson (DDC), was attended by CEOs and senior officials of 18 leading companies in the field of electronics pan-India, and senior representatives of industry forums such as Electric Lamp and Component Manufacturers (ELCOMA) and Electronic Industries Association Of India (ELCINA).

Accordingly, DDC had identified the following five pillars as being critical to attracting investments from electronics design and manufacturing units in Delhi:

  1. Short Setup Time: Provision of ready-built factories in a ‘plug and play’ model enabling commercial production to start as soon as possible.
  2. Low Lease Rentals: Affordable rentals comparable with other location options within the NCR.
  3. Low Cost of Production: Labour costs are a significant proportion of operating costs for the majority of electronics manufacturing units. Subsidising labour costs to incentivise employment generation, especially among women, is preferred.
  4. Ease of Doing Business: Eliminating red tape and unnecessary bureaucracy associated with both setting up and running a manufacturing operation.
  5. Policy Stability: Continued support from the government to the notified policy with no sudden changes in policy direction or incentives over the duration of the policy

While presenting Delhi Government’s ‘Rozgar Budget’ in March this year, I had announced CM Arvind Kejriwal’s vision to establish Delhi as the country's economic growth engine and to generate jobs by creating a large electronics ecosystem here. With a great potential of generating ‘green jobs’, particularly for women workforce, the electronics sector can play a very important role in the Kejriwal Government’s vision of a greener, sustainable and equitable economy.

Delhi already offers several advantages like significant local electronics consumption demand, excellent transport, logistics and distribution networks, and skilled human resources. Through the upcoming Delhi ESDMR policy, we are sure we will be able to encourage foreign and domestic companies in the electronics industry to set up new research, design, manufacturing and service centres in Delhi. This is sure to create a very positive impact on Delhi’s economy and job creation. Moreover, this will create extensive employment opportunities for workers in the sector, especially for women workers.

Sh. Manish Sisodia
Sh. Manish Sisodia, Deputy Chief Minister and Industries Minister

The blueprint for Delhi’s Electronic City submitted by DDC today is a culmination of an extensive research and consultation exercise over the last 6 months. As the policy think tank and advisory body of the Delhi Government, DDC ensures that thorough research and the active engagement of relevant stakeholders translate into concrete, actionable recommendations on the policy’s design, formulation, and implementation. The suggestions made today by DDC for Delhi’s ESDMR Policy 2022-27 have also emerged from wide-ranging stakeholder consultations, industry visits and a detailed comparative analysis of the policy landscape across India. We are confident that this policy will pave the way for making Delhi a global design and innovation hub for the electronics industry in the years to come.

Sh. Jasmine Shah
Sh. Jasmine Shah, Vice Chairperson, DDC Delhi

Delhi has several inherent advantages that enable the establishment of a research and design facility dedicated to electronics product design, like its geographical location, proximity to the airport, access to academic research and electronics graduates, and its reputation as the emerging start-up capital of the country. Based on extensive research and discussions with stakeholders on its feasibility, DDC has recommended that an electronic research and design facility be established in Delhi to house global independent design houses, relevant start-ups and original design manufacturers transitioning to product design.

Sh. Gopal Mohan
Sh. Gopal Mohan, Member, DDC Delhi

India is known for its tech talent across the world. We have the unique opportunity to leverage our huge young and digitally dextrous population to boost the design and manufacture of electronics here. DDC’s recommendations on the electronic city initiative will bring forth a commendable shift at the policy level to make the most of this opportunity which is expected to give a fillip to the economy.

Sh. Vijay Chander Vupputuri
Sh. Vijay Chander Vupputuri, Member, DDC Delhi