Govt approves 31 electronics projects worth Rs 7,877 crore

The government on Monday approved 31 fresh proposals under the Electronics Component Manufacturing Scheme (ECMS), involving investments of Rs 7,877 crore.

The latest approvals take the total number of projects cleared under five tranches to 106, with cumulative investments crossing Rs 69,000 crore.

After awarding approval certificates to the companies, Union Electronics and IT Minister Ashwini Vaishnaw said the scheme had attracted private investments beyond the target originally set by the government.

“When we made the Electronic Components Scheme, the manufacturing scheme, we kept a target of Rs 59,000 crore. I am so glad the scheme has already achieved Rs 69,000 crore investment. Private investment is happening now, and it is coming in very crucial sectors,” Vaishnaw said.

The approvals are part of efforts to increase domestic value addition in electronics, strengthen local supply chains, reduce dependence on imports of critical components and develop advanced manufacturing capabilities. The move also supports the government’s broader aim of positioning India as a global hub for electronics manufacturing.

Electronics and IT Secretary S Krishnan said Meity (the Ministry of Electronics and IT) had cleared almost 31 applications in the latest round, involving a total investment of Rs 7,877 crore.

The approved projects cover capital goods, camera modules, display modules, connectors, anode material, enclosures, rare earth permanent magnets, speakers and microphones, antenna, metallised films for capacitors and coils, among other areas.

The specific proposals approved in the latest round include Jyoti CNC Automation (Rs 1,021 crore), Micromax Precision Moulding (Rs 565 crore), VVDN Technologies (Rs 100 crore), Resolute Group’s SkyQuad Electronics and Appliances (Rs 740 crore), Mitsubishi Electric India (Rs 99 crore), Wipro Global Engineering and Electronic Materials (Rs 1,033 crore additional investment), Gruner India (Rs 79 crore) and Centum Electronics (Rs 54 crore).

The list also includes GX Group, Bhagwati Products, Ennovi Mobility Solutions, Allied Engineering Works, Globe Capacitors, Syrma SGS Technology, Rosenberger Interconnect, Sensata Technologies and Britannia RFID Technologies, among others.

Vaishnaw said the fresh approvals would result in total output or production of goods worth Rs 82,243 crore and create close to 10,000 jobs.

Wipro Global is scaling up investments in copper clad laminate, a category facing a shortage and price rise due to pent-up demand from artificial intelligence servers.

Quantum Magnetics has received approval to produce rare earth magnets, a segment dominated by China and considered crucial for high-tech electronics products, particularly advanced audio technologies.

Mitsubishi Electric, Ind Sphinx, Accurate Gauging and Instruments, VVDN Technologies and Jyoti CNC Automation have received approval for capital goods. The segment is aimed at reducing dependence on imports and helping Indian electronics manufacturers scale up production.

The fresh tranche of investment will be spread across 10 states.

The Electronics Components Manufacturing Scheme (ECMS), launched in April 2025, offers incentives for setting up domestic manufacturing facilities.

Vaishnaw also reiterated that the industry must maintain a razor-sharp focus on four key areas: design capabilities, indigenous supply chain, Six Sigma quality and workforce development.

He said emphasis on these areas was an absolute must for the electronics industry to remain globally competitive and sustain growth.

Highlighting the importance of design capabilities, Vaishnaw said rapid changes in electronics make it essential for companies to respond quickly to shifts in technology, markets and customer expectations. Strong domestic design capabilities, he said, would enable players to pursue sustained growth and scale.

Vaishnaw also called on companies to deepen their indigenous or ‘Swadeshi’ supply chains by mapping components down to the level of sub-components and smaller parts, and identifying locally-made inputs.

A ‘Swadeshi’ supply chain, he said, would create jobs and strengthen supply-chain resilience.

The minister also stressed that ‘Six Sigma’ quality and lean manufacturing are critical for competing in the electronics sector.

“Without Six Sigma quality, there is no chance of survival in electronics manufacturing,” he said, noting that an ELCINA latest presentation showed nearly 60 per cent of companies are now moving towards ‘Six Sigma’ quality standards.

Vaishnaw identified talent and workforce development as the fourth priority, saying investments in skills are essential for improving quality, productivity and manufacturing efficiency.

He exhorted the industry to continue investing in workforce and talent development.

The minister said industry bodies, including ELCINA, MAIT and ICEA, had been asked to work on talent development in a “structured way”. He also assured that the ministries of skill development, electronics and IT, and education would provide all the support needed.