The government announced a scheme worth 22,919 crores aimed at boosting domestic production of electronic components, display and camera modules, non-surface mount devices, multi-layer printed circuit boards, and lithium-ion cells for various digital applications, among other items.
By launching a program aimed at boosting electronics component production, the government aims to achieve a trifecta comprising semiconductor manufacturing, the creation of semiconductor components, and the production of finished items like mobile phones, laptops, hardware, and various information technology products.
The Union Minister of Electronics and Information Technology, Ashwini Vaishnaw, announced that the ministry will commence accepting applications from companies interested in manufacturing in India under the initiative.
“Within a short timeframe, diversity of the manufacturing ecosystem in the country has substantially increased. More than 400 production units, small and big, are there. Like all other industries and several other countries that went through this cycle, it starts with finished goods to begin with. Then, it moves to assembly and then components. We are now at a phase where we are moving to components,” Vaishnaw said.
The minister stated that the manufacturing and exporting of electronic components, particularly mobile phones, has experienced significant growth over the past ten years. He mentioned that although electronics manufacturing experienced a compound annual growth rate (CAGR) of 17 percent, exports increased at a 20 percent CAGR.
According to the official notification, under the revised scheme for manufacturing electronic components, the government will offer incentives to applicants depending on their revenue, capital investment for producing goods in the target segment, or a mix of these factors.
We use cookies to ensure you get the best experience on our website. Read more...
