The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Electronics Component Manufacturing Scheme, marking a significant stride toward making India self-reliant in the electronics supply chain.
With a funding allocation of Rs 22,919 crore, the scheme is set to attract investments worth Rs 59,350 crore, generate Rs 4,56,500 crore in electronic goods, and create over 91,600 direct jobs, along with numerous indirect opportunities.
This initiative focuses on building a robust component manufacturing ecosystem by offering differentiated incentives to manufacturers and integrating Indian companies with Global Value Chains (GVCs). Key target areas include sub-assemblies, bare components, and supply chain ecosystems. The scheme also mandates employment-linked incentives to ensure job creation.
The electronics sector, one of the fastest-growing industries globally, has seen remarkable growth in India. Domestic production surged from Rs 1.90 lakh crore in FY 2014-15 to Rs 9.52 lakh crore in FY 2023-24, while exports have increased from Rs 0.38 lakh crore to Rs 2.41 lakh crore in the same period.
By fostering innovation and development, the scheme is poised to position India as a global hub for electronics manufacturing, advancing its mission of economic and technological self-reliance.
