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Govt plans brand equity fund for electronics industry

The government is planning to set up a separate brand equity fund for the electronics and information technology industry sector in order to help ''brand building''.

The proposal was mooted at the third meeting of the Development Council for Electronics Industry held in New Delhi recently.

Department of Electronics secretary Ravindra Gupta said the electronics industry will have to undertake initiatives in ''brand building'' to have enhanced presence in the global market.

He said for this, major product promotional efforts will be needed such as undertaking participation in international fairs, conducting seminars and creating Websites.

The established ''branded products'' would need to be aggressively marketed in the international arena, he said. And for this, a need for a separate brand equity fund for IT and electronics industry is greatly felt, he said.

The DCEI has recommended the setting up of about a Rs 1 billion brand equity fund for this to start with. The participation of some of the leading financial institutions is being explored. However, the Planning Commission is being requested to earmark funds for the programme.

Gupta told the council that IT-enabled services and e-commerce provide tremendous opportunities for the Indian software industry. But to build the necessary business confidence, a regulatory framework should be put in place expeditiously. He expressed the hope that the Information Technology Bill, awaiting government's nod, would soon be cleared.

UNI

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