Govt should be catalyst for growth of VLSI industry: ISA

Bangalore, Jan 10 (UNI) With an exponential growth expected in the consumption of semiconductor-based electronic goods, making the industry a 360 billion US Dollars one in the next ten years, the Union Government should act as a catalyst to promote the industry, India Semiconductor Association Chairman Rajendra Kumar Khare said today.

Speaking at a panel discussion on the 'Role of Government as a catalyst for promoting growth of semiconductor industry' at the 20th International VLSI Conference which concluded here, he said the Union and State Governments should adopt pro-active policies and give top priority to enable fast growth of semiconductor industry.

''Otherwise, the country will face a severe balance of payments problem due to increase in imports,'' he warned.

Mr Khare said the growth of VLSI industry should be seen in the national perspective as it was set to emerge as an engine that drove the national economy in the near future.

''Semiconductor and consumer electronic goods would become the biggest contributor, together accounting for 28 per cent of the GDP by the year 2017. It will also emerge as the number one job creator, generating nine million more jobs. The per capita consumption of electronic goods would go up and the money spent by an Indian on such goods would be five times of all basic ingredients of life,'' he said, quoting economic surveys.

According to one such survey, after ten years, every Indian was expected to spend 300 Dollars on electronic goods per annum, which would be higher than the money spent on food, milk and oil, he added.

UNI