CONSUMER ELECTRONICS: Secure in Uncertainty
Business Today India|February 05, 2023
Most Indian consumer electronics firms say the disruptions in China won't affect them, at least for the current quarter. But if the Covid-19 situation in China persists, Indian firms may feel its impact deeply
NIDHI SINGAL
CONSUMER ELECTRONICS: Secure in Uncertainty

A FEW MONTHS into the Covid-19 pandemic, the world was in disarray. And it wasn't just about fighting the virus. Lockdowns in China and disruptions to the supply chain hit economic activity; especially affected was the electronics industry, which was at the core of keeping people connected in those tough times.

Cut to more than two years later. There has been a rise in infections in China, and that is spreading to different parts of the world. While a majority of people are vaccinated in India and enterprises have their business continuity plans in place, what about manufacturers, more specifically the electronics industry? Industry players say that most companies should be able to hold out for a couple of months or so, owing to learnings from past experiences.

Accounting for the Chinese New Year, companies such as home appliances major Godrej Appliances have stocked raw materials in advance that will help them steer through the disruptions, at least for the January-March period. "We get some electronic items such as motors, relays, gearboxes, timers, etc., from China… [but] have not witnessed disruptions… as most of the raw material and components required for production in the March quarter have either reached [us] or are [already] in transit,” says Kamal Nandi, Business Head and Executive Vice President of Godrej Appliances.

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