India dependent on China, US for electronic goods imports'
Thursday, 3 September 2009
NEW DELHI, Sep 2 (PTI): India is heavily dependent on imports of electronic goods from countries like the US and China to meet its domestic demand, a joint study by Assocham and Ernst and Young yesterday said.
Citing reasons for imports, the paper said Indian industries spend little on research and development despite benefiting from 150 per cent income tax exemption given on such activities.
The study said the industry spent only USD 0.1 billion on research and development activities in the recent times.
"Meagre spending on R&D by electronics industry has increased India's dependence on electronics imports as inspite of the fact that 150 per cent income- tax exemption," Assocham President Sajjan Jindal said.
India had imported electronics goods worth USD 19.77 billion in the recent times, while the export earnings were USD 3.17 billion, the study said.
Citing reasons for imports, the paper said Indian industries spend little on research and development despite benefiting from 150 per cent income tax exemption given on such activities.
The study said the industry spent only USD 0.1 billion on research and development activities in the recent times.
"Meagre spending on R&D by electronics industry has increased India's dependence on electronics imports as inspite of the fact that 150 per cent income- tax exemption," Assocham President Sajjan Jindal said.
India had imported electronics goods worth USD 19.77 billion in the recent times, while the export earnings were USD 3.17 billion, the study said.