India is stepping up its game in electronics with a new Rs 23,000 crore initiative called the Electronics Components Manufacturing Scheme (ECMS). Announced by Electronics and IT Minister Ashwini Vaishnaw, the plan aims to make India a major player in the global electronics market, growing its share from 3% to 8% in just six years. The goal is to build more electronics components at home and rely less on imports, especially as global supply chains shift.
The ECMS zeros in on key parts like display screens, camera modules, circuit boards, and batteries, plus the supply chains that keep it all running. It’s offering cash incentives based on how much companies produce, helping with building factories, and bonuses for creating jobs. The government predicts this will pull in Rs 59,350 crore in investments, create 91,600 jobs, and churn out Rs 4,56,500 crore worth of electronics.
Businesses can apply online starting May 1, 2025. There’s a three-month window for things like sub-assemblies and core components, and a two-year window for supply chain and equipment projects. Vaishnaw made it clear that companies designing in India and hitting top-notch quality standards will get priority because standing out globally means being innovative and reliable.
India’s electronics scene is already buzzing, with annual production topping Rs 11 lakh crore (129 billion USD) and exports skyrocketing sixfold over the past decade. The country’s aiming for 300 billion USD in production by 2026 and 500 billion USD by 2030-31. Heavyweights like Dixon Technologies are all in, planning to invest in at least four component types under the scheme.
Pankaj Mohindroo, who leads the India Cellular & Electronics Association, called the plan a game-changer, saying partnerships with states and global companies will build a rock-solid electronics ecosystem. Combined with efforts like the India Semiconductor Mission, the ECMS is setting India up to be a major hub for electronics manufacturing worldwide.
We use cookies to ensure you get the best experience on our website. Read more...
