Bangalore, Aug 23 (KNN)  Karnataka will soon get an electronics systems design and manufacturing (ESDM) cluster which offers common testing and related facilities to micro small and medium enterprises (MSMEs).

ESDM sector will get a boost with the formation of a cluster in Bangalore shortly, followed by one each in Peenya and Mysore. Further, two new clusters will come up in Devanahalli, Narsapur and Kolar, the Principal Secretary Department of Information and Technology (IT), Karnataka ISN Prasad said here.

Attending an Interactive Workshop on Regulatory and Operational Issues organised by the department and Manufacturers' Association for Information Technology (MAIT) here he said, “The proposal has been sent to the Central government for approval and we expect it to come within a month or so.”

The total project will cost Rs 100 crore and be shared equally between the Centre and the State governments. The cluster will benefit all MSME units, Prasad said.

Further, if the approval comes as expected, the cluster would be completed during this fiscal, he added.

Earlier, the Minister for Information Technology, Biotechnology, Science and Technology, Karnataka SR Patil said that the state government has formed a core committee on information and communication technology (ICT) and electronics hardware to explore possibilities of scaling up ESDM activity in the state.

The ESDM industry is estimated at USD 45 billion in India and expected to grow to USD 400 billion by 2020, said the Executive Director of MAIT, Anwar Shirpurwala.

He further said, “Last year, almost 12 million computers were sold in India, out of that 85 per cent were imported. Even those manufactured in India have almost 95 per cent of import component. More domestic manufacturing through such clusters will inevitably lead to job creation as well. (KNN/GUNJ)