NEW DELHI — India’s Electronics Components Manufacturing Scheme (ECMS) has received applications worth ₹1,15,351 crore (about $13 billion), nearly twice the government’s investment target, the Ministry of Electronics and Information Technology said.
The scheme, cleared by the Union Cabinet on May 1 with a fiscal outlay of ₹22,919 crore, aims to expand domestic production of electronic components and reduce reliance on imports. The application window opened on May 1 and closed on Sept. 30 after receiving 249 proposals from Indian and overseas companies, the ministry said in a statement.
Union Minister for Electronics and Information Technology Ashwini Vaishnaw said states should make use of the opportunity by creating industry-friendly policies and infrastructure. He said electronics manufacturing could provide large-scale employment for India’s youth and contribute to regional economic growth.
Investment and job outlook
Under the scheme, the government had set an investment target of ₹59,350 crore. Applications worth ₹1,15,351 crore were received, almost double the target, the ministry said. It estimated that approved projects could generate production worth ₹10,34,700 crore over the next six years, compared with the earlier projection of ₹4,56,000 crore.
The scheme is expected to create around 1,42,000 direct jobs and many more indirect jobs across supply chains. The ministry said this level of response exceeded expectations and highlighted the domestic industry’s interest in building a self-reliant component ecosystem.
The ECMS seeks to encourage the manufacture of components such as semiconductors, sensors, capacitors, resistors, power electronics, connectors and printed circuit boards — parts that form the foundation of consumer electronics, automotive, and telecom equipment manufacturing.
Expanding India’s electronics base
Electronics and IT Secretary S. Krishnan said the scheme’s objective is to deepen the domestic value chain and increase local value-addition before integrating with global supply networks. Strengthening component manufacturing, he said, would help reduce the import dependence that currently limits India’s ability to compete globally.
Vaishnaw said the ECMS builds on earlier initiatives such as the Electronics Manufacturing Clusters (EMC) scheme, the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS), and the Production Linked Incentive (PLI) schemes for mobile phones and IT hardware. Together, these programmes form part of the government’s plan to make India a global hub for electronics manufacturing.
The ECMS complements existing efforts under “Make in India” and “Digital India,” which seek to expand India’s share in global electronics trade. The government has previously said it aims to build a $500 billion (₹44 lakh crore) domestic electronics manufacturing ecosystem by 2030–31.
Strong industry response
According to the ministry, the applications came from both Indian firms and multinational manufacturers, reflecting confidence in India’s stable policy environment and competitiveness. The ministry said the strong response underlines the growing trust of the business community in India’s electronics ecosystem.
The government has begun processing applications to identify eligible investors for incentives. Selected firms will receive financial support linked to their capital expenditure and production targets over the scheme period.
The ECMS is part of a broader strategy to position India as a reliable partner in global electronics supply chains at a time when companies are seeking to diversify their manufacturing bases. It is also expected to boost participation of micro, small and medium enterprises (MSMEs) in component production.
India’s electronics industry has grown steadily over the past decade, driven by rising demand for smartphones, computers and consumer devices. The country’s electronics exports crossed ₹3 lakh crore in 2024–25, supported by the success of the mobile phone PLI scheme, according to official data.
