India’s electronics manufacturing push expands with 31 new ECMS approvals

ECMS approval event in New Delhi with government officials and electronics manufacturing industry representatives
Government officials and industry representatives at the ECMS approvals event in New Delhi.(Image Source: PIB India)

New Delhi: India’s push to build a domestic electronics component supply chain has expanded further, with the government clearing another 31 proposals under the Electronics Components Manufacturing Scheme (ECMS), taking the total number of approved applications under the scheme to 106.

The Ministry of Electronics and Information Technology (MeitY) approved the 31 proposals with a projected investment of ₹6,844 crore. Along with an additional ₹1,033 crore investment approved for an already selected applicant, the latest approvals involve a total investment of ₹7,877 crore and projected production of ₹82,243 crore. They are expected to create 9,588 direct jobs.

With the latest round, 106 applications covering 30 products across 15 states have been approved under ECMS. Together, these projects involve an expected investment of ₹69,548 crore, projected production of ₹5,34,101 crore and direct employment for 74,628 people. The government also expects them to generate around 2.5 lakh indirect employment opportunities.

Of the 106 projects approved so far, 38 plants have already started manufacturing, while another 16 are at advanced stages of construction or machinery installation. MeitY said the latest approvals will enable first-ever domestic manufacturing of critical components such as filters, coils and speakers, as well as essential raw materials including acetylene black and electrolyte additives.

The 31 newly approved proposals cover 20 target-segment products across sub-assemblies, components, supply-chain products and capital goods. These include camera modules, display modules, optical transceivers, enclosures, connectors, transducers, speakers and microphones, relays, antennas, coils, filters, capacitors and metal shielding covers. Supply-chain products covered include anode material, rare-earth permanent magnets, acetylene black, electrolyte additives, metallized films for capacitors and hermetic terminals, along with capital goods and their parts.

The newly approved projects are spread across Goa, Gujarat, Haryana, Himachal Pradesh, Karnataka, Maharashtra, Tamil Nadu, Telangana, Uttar Pradesh and Uttarakhand. Some applicants have proposed investments at multiple locations. The government has also approved an additional ₹1,033 crore investment by Wipro Global Engineering and Electronic Materials Private Limited for manufacturing copper-clad laminate.

MeitY said manufacturing capacity created under the scheme is already meeting or exceeding domestic demand in some segments. Capacity for enclosures is around 100% of domestic demand, while output capacity is estimated at about 110% for anode material, 350% for optical transceiver-SFP and 200% for relays.

The Electronics Components Manufacturing Scheme was launched to deepen India’s electronics supply-chain ecosystem and encourage domestic manufacturing of components, sub-assemblies and capital goods. With the latest approvals announced on August 17, the total approved investment under ECMS has reached ₹69,548 crore, compared with ₹59,350 crore originally envisaged under the scheme.

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