Intel evaluating India as manufacturing destination

By Our Corporate Bureau | 19 Nov 2004

New Delhi: Semiconductor giant Intel Corporation''s CEO, Craig R. Barrett, said yesterday the company was evaluating India as a possible location for manufacturing.

While speaking to press persons in India, Barrett said, "The question is whether we will put up a manufacturing plant in India. I will not say no to that. India is one of the several countries that we are currently evaluating from a manufacturing perspective. We are not ready to announce a location for our next manufacturing plant at this time. India is one of the several competitors."

He further said that the company''s choice of China as its current manufacturing location was driven by favourable factors such as manufacturing infrastructure, transport infrastructure and ease of movement of products.

"There are probably 100 countries across the world that will like to have our manufacturing plant built in their country. But they need to recognise the competitive environment, and if you then start to look at issues of transportation, customs, utilities, government rules and regulations, you realise the amount of competition," he said but declined to comment on whether Intel felt a need for improvement of infrastructure in India.

Comparing the capabilities of China and India, Barrett said he had seen both the countries improve their infrastructure substantially. "The comparison to China is in some instances similar and in some instances different. China has a goal to have manufacturing expertise in the hi-tech area. India''s goal is much more towards software and engineering skills. I see both countries using education expertise in similar fashion but in different aspects of engineering and manufacturing," he said.