The biggest problem in the LED metal core PCB market is the lack of volumes. While LED brands manufacturing in India are looking for both volumes and customisation, the makers of metal core PCBs are yet to get the government’s support. LED Bazaar goes deep into the market to find out the current state of metal core PCBs in India
Metal core PCBs have been around for a long time. But of late, they seemed to have lost their charm when compared to general PCBs. Now, these components have made a comeback with the advent of LED lighting technology. As Vijay Kumar Gupta, managing director, Kwality Photonics Pvt Ltd likes to put it, “The LED industry gave metal core PCBs a fresh lease of life.” It is considered to be one of the most critical components used in making any LED light at the moment. The basic function of a metal core PCB is to spread the heat or distribute it in a manner that does not cause damage to the LED lights. In short, it is the most operationally viable technique for thermal management.
Offering better thermal management
As their description suggests, these PCBs have a base that is made out of metal. They are manufactured by putting together an aluminium sheet and a copper sheet with a thin dielectric of 75 micron to 100 micron in between. The quality of the dielectric is important because it must be capable of allowing sufficient heat to go through and at the same time provide enough electrical insulation so that the aluminium part remains fully electrically isolated. The biggest advantage of using a good quality metal core PCB is the speed at which the heat is transferred, which is eight to nine times faster compared to the general PCBs, depending upon the quality of the metal core. Besides, due to the better thermal management of these PCBs, the energy efficiency of the LED lights increases.
Challenges buyers face
The basic problem faced by most LED manufacturers in India is the continuous import of Chinese metal core PCBs. Gupta says, “With a local manufacturer, you can rely on the quality to some extent, but with different batches coming in from China, one can never be sure of the quality of the metal core PCBs.” Even though the counter argument to this is that there are a lot of Indian manufacturers of metal core PCBs now, there is still a notable shortage of volumes in this country. This is because the number of LED lights manufactured in this country is growing by leaps and bounds, particularly since the government’s special focus on LED technology, leading to a situation where demand far exceeds the supply.
Talking about the volumes manufactured in India, V. Sudarshan, managing director, Spectrum Techvision Pvt Ltd says, “More than 95 per cent of these metal core PCBs are imported from China and branded in India.” But Spectrum Techvision sources its metal core PCBs from Indian manufacturers. Sudarshan says, “Manufacturing metal core PCBs in India is not a problem. The main challenge lies in meeting the volumes demanded by the leading brands in India. Besides, there are customised requirements from these brands.” So the quality of metal core PCBs manufactured in India is never a cause for concern. Rather, Indian manufacturers need to have manufacturing facilities that can meet the varied demands and volumes required for the Indian market.
The manufacturers’ challenges
Currently, there are a lot of small and medium enterprises (SMEs) in India that manufacture metal core PCBs. This is highly beneficial for the Indian market as there are numerous SMEs manufacturing LED lights. But there are a number of challenges that these manufacturers need to face.
Apart from the lack of volumes offered, the other big challenge is the pricing factor. Brands manufacturing LED lights tend to source their metal core PCBs from China because of the lower cost. So, Indian manufacturers often lose out in this price battle. This is primarily because they do not manufacture the volumes their Chinese counterparts do and hence do not enjoy the economies of scale and many Indian SMEs focus on the quality rather than the price. Besides, the taxes charged by the Indian government are also a lot more compared to what Chinese companies have to pay.
There is also a potent price threat posed by Indian manufacturers. On the one hand are Indian manufacturers whose main aim is to make quality products, while on the other are those that focus only on the price of the finished product. This is mainly because of the lack of technical knowledge among some LED light manufacturers. Amit Agrawal, proprietor, Advance Technologies says, “Most buyers are not aware of the importance of good quality so they always select a low priced product. But in order to offer metal core PCBs of a certain high quality standard, the prices will be higher. We usually avoid customers who don’t understand the importance of quality.”
What the government can do
‘Make in India’ is a campaign which is being championed by almost every big company for the benefits it is providing, especially through the MSIPS. On top of that, the government is also promoting the LED industry to a great extent. But surprisingly, the manufacturers of metal core PCBs are yet to enjoy any benefits of this campaign. Most of them complain that they have applied for the MSIPS but have received no response from the government.
Agrawal suggests, “The taxes charged by the government are too high at the moment. They should be reduced, while subsidies should be given instead. Just like there are so many benefits that the solar sector is getting, metal core PCB manufacturers should also get the same, as they are environment friendly.”
Even though there are many manufacturers of metal core PCBs in India, certain materials used in these components are imported from other countries. Durga Rao, managing director, Sulakshana Circuits Ltd says, “The government should work towards creating an environment in which virtually every PCB used in the world is made in India. More companies should be encouraged to manufacture these metal core PCBs locally—after all, that is the purpose behind the ‘Make in India’ campaign. Besides, the government should also encourage raw materials to be manufactured in India.” So the government should formulate schemes and policies that encourage all stakeholders in metal core PCB manufacturing to set up their base in India. This will allow India to have the complete manufacturing ecosystem in the field of metal core PCBs.
Sudarshan suggests similar solutions, saying, “Our only hope of making the supply of these metal core PCBs smoother is the ‘Make in India’ campaign. With the help of this campaign, the government should encourage companies to manufacture these PCBs on such a large scale that we reach a stage when big LED lighting brands will not be allowed to import from other countries.”
Another thing that the government needs to focus on is standardisation of metal core PCBs. V. P. Mahendru, chairman, Eon Electric says, “To ensure that metal core PCBs of the right quality and type are made available to LED lighting manufacturers, the quality needs to be standardised. This will prevent new, small scale manufacturers and assemblers of LED bulbs losing out to makers of low cost and sub-standard metal core PCBs. Poor quality can adversely affect the very objective of promoting LED lighting, as low quality metal core PCBs reduce the energy efficiency of an LED light.”
It is high time the Indian government starts focussing on the components for LED lighting. In order to make LED lighting more energy efficient in this country, each and every part used in the manufacturing process should be of good quality. When the government understands the importance of this, the supply chain for metal core PCBs in India will be able to offer the best possible quality and price to the Indian LED lighting industry.
By Samonway Duttagupta