The Ministry of Electronics and Information Technology (MeitY) will on Friday approve 22 new proposals under the Electronics Components Manufacturing Scheme (ECMS), with a projected investment of ₹41,863 crore and estimated production worth ₹2,58,152 crore, according to sources.
The approved projects are expected to generate 33,791 direct jobs.
Boosting Local Value Addition and Job Creation
The latest clearances will be in continuation of earlier approvals under the scheme. MeitY had previously cleared 24 applications with a combined investment of around ₹12,700 crore under the first two tranches of approval.
With the new approvals, the scheme now covers manufacturing across 11 targeted product segments with cross-sectoral applications in mobile phones, telecom equipment, consumer electronics, strategic electronics, automotive and IT hardware. However, the name of the firms are yet to be disclosed.
The approved products will include five bare components, mainly printed circuit boards (PCBs), capacitors, connectors, enclosures and lithium-ion cells; three sub-assemblies—camera modules, display modules and optical transceivers; and three supply-chain items—aluminium extrusion, anode material and laminates.
The projects will be set up across eight states, which includes Andhra Pradesh, Haryana, Karnataka, Madhya Pradesh, Maharashtra, Tamil Nadu, Uttar Pradesh and Rajasthan.
Strengthening Domestic Supply Chains and Reducing Imports
Industry estimates suggest that value addition from electronics assemblies in India currently stands at around 15%, as most critical components, including circuit boards and key sub-systems, continue to be imported. With more approvals to the components scheme, domestic supply chains would be significantly improved alongside reduced import dependence for critical electronic components, senior MeitY officials said.
Earlier tranches under the scheme included multiple projects across states, with investments spanning components such as passive devices, printed circuit boards, camera modules, connectors and specialised sub-assemblies, as reported previously.
MeitY in March announced a Rs 22,919 crore incentive scheme aimed at boosting domestic production of key components, ranging from printed circuit boards and lithium-ion battery cells to sub-assemblies for display and camera modules.
The government has targeted doubling electronics exports in the next three and a half to four years.