Why Did Rajguru Electronics, A Leading Distributor Of Components And Development Boards, Enter Manufacturing?

After nearly three decades in distribution, Rajguru Electronics pivoted to manufacturing, setting up a unit for its ADIY subsidiary in Bengaluru. EFY's Yashasvini Razdan interviewed CEO Dileep Jain to explore the reasons behind the shift and the company's growth strategy.

- DILEEP JAIN

What prompted Rajguru Electronics, known for distributing components and development boards, to step into manufacturing?

During the distribution of modules and boards in India, we faced challenges due to uncommunicated changes, resulting in customer rejections and product returns. This led to losses as returning products to China was not feasible. However, recognising the need for self-reliance in India, we started receiving orders for locally manufactured products. So, we decided to move into manufacturing to provide Made-in-India products to a wider customer base while remaining cost-competitive. We anticipate establishing a strong presence within three to four years and competing effectively in the market while being capable of mass production in India.

How has the process flow changed since you transitioned to a manufacturing business?