Monday, November 24, 2014: The Electric Lamp and Component Manufacturers’ Association of India (ELCOMA), the apex body representing the entire lighting industry, recently organised Light India 2014 in New Delhi. The event showcased a spectrum of lighting solutions and suppliers, attracting leading consultants and lighting specialists. ELCOMA has been at the forefront in steering forward both the industry and LED technology in the country. Speaking with Richa Chakravarty of Electronics Bazaar, Shyam Sujan, secretary general, ELCOMA, shares his views on the growth of the LED market in India, and the increasing opportunities within this segment
LB: How has the LED segment grown in India?
The LED market is very new in India. In 2013, the Indian LED industry generated a revenue of Rs 20 billion. However, the scenario has changed now due to the efforts of the government. ELCOMA has advised the Indian government to change all the fluorescent and gas discharge lamp street lights to LED lights, which will help save about 50 per cent of the energy currently being consumed. The government has entrusted Energy Efficiency Services Limited (EESL) with the responsibility of funding all such street lighting programmes. Apart from this, a sum of Rs 100 billion has been allocated to EESL to supply 27.5 million LED lights for street lighting over the next two to three years.
LB: What efforts has ELCOMA made towards developing LED standards in the country, to bring them on par with global LED standards?
We have certain core LED standards in India that are fundamentally required. Interestingly, these standards have also been modified to suit the domestic conditions. However, some standards that are on par with global norms have also been incorporated. As an example of India centric standards, we have integrated certain components in LED lights that help to keep them cool, as during the summer, the temperature in India reaches 48-50 degrees Celsius, which is harmful to certain LED components. During monsoons, the humidity level is generally around 90 per cent. Humidity, to an extent, can discharge the components of the lamp and hinder its working. Dust is also a factor that may impede the efficiency of LED lights. Voltage fluctuation is another big problem that India faces. The idea is to come up with a product that has the capability of withstanding all the above limitations. As a matter of fact, manufacturers in India have to make products as per the standards outlined by the government.
LB: How much growth do you forecast for the LED segment over the next two years?
Currently, the focus is on replacing the existing street lights with LED lights. The government will supply 300 million LED lamps to households under various programmes, like BPL schemes and others. These lamps will be domestically manufactured so that durability is guaranteed by manufacturing them as per Indian demands and conditions. Tenders have already been floated and the price stands at around Rs 250 per lamp. Since the demand for LEDs is growing rapidly, the prices will also come down within a short span of time. As per our estimation, the Indian lighting industry, which has a turnover of Rs 120 billion now, will reach Rs 370 billion by the year 2020.
LB: What measures is ELCOMA taking to strengthen the manufacturing base in India?
The CFL manufacturing base is very strong in India, but with the growing demand for LED lights the demand for CFLs is slowing down. As per the latest analysis, the CFL market has fully matured and LEDs are now taking over. Therefore, India’s CFL manufacturing plants have to be utilised for other purposes. CFL production will be replaced with LED production in these plants in the coming days. Manufacture of LED lamps has already begun in the country. NTL Lemnis, Crompton Greaves and Philips are some of the firms manufacturing LED lamps in India.
LB: Do you think Chinese products are a threat to the Indian market as they are cheaper?
Yes, we face very tough competition from China. But this will actually be a short lived phenomenon. It is a fact that Chinese products are comparatively cheaper but also faulty. Earlier, people used to buy a lot of Chinese CFLs, given their low price, but due to their impermanent nature, the sales went down and people started purchasing indigenous CFLs, which actually last longer. Now that we have modified LED standards to Indian conditions, ‘Made in India’ LED lighting products will perform better than those imported from China.
LB: What initiatives is ELCOMA taking to educate manufacturers about LEDs?
Elcoma has been organising many workshops in state capitals to generate awareness of new technologies and applications in LED lighting among the stakeholders like manufacturers, government agencies like PWDs, CPWDs, municipalities, local bodies and large buyers like railways, airport authority, DGS&D etc. Besides we are also promoting the manufacture of all LED products within India, which the government is also backing with its mandate to procure only ‘Made in India’ LED lighting products.
Electronics Bazaar, South Asia’s No.1 Electronics B2B magazine