Ashwini Vaishnaw, Union Minister of Electronics and Information Technology, Information and Broadcasting and Railways has launched the guidelines and portal for the Electronics Component Manufacturing Scheme (ECMS).
The minister outlined the government’s clear strategy for electronics manufacturing. He noted that India started its journey by manufacturing finished products to build volume and basic confidence, enabling downward integration. This was followed by module-level manufacturing, then component manufacturing, and now manufacturing of materials that build components. Highlighting that finished goods account for 80 to 85 per cent of the value chain, he added that the scale achieved in electronics manufacturing has been phenomenal.
Vaishnaw stated that electronics production has grown five-fold and exports have grown more than six-fold, with export CAGR exceeding 20 per cent and production CAGR over 17 per cent. Further, mobile phones, servers, laptops, and IT hardware have seen very strong progress and that the industry is poised to take off significantly.
He described ECMS as a horizontal scheme that will support not just electronics but also industrial, power, automobile sectors and more. He emphasised that a complete ecosystem for electronics manufacturing is coming into place across the country.
Underscoring the importance of innovation and quality, the minister said that many companies have now established design teams, and it is essential that every participant develops such teams. Stressing on quality, he called for achieving Six Sigma standards across the sector, warning that those not adhering to quality benchmarks would be cut short. He said the twin focus on design capability and quality excellence would drive India’s leadership in electronics.
Futher, Vaishnaw also spoke about India’s advances in artificial intelligence (AI) and data-driven solutions. He informed that 350 datasets have already been uploaded on AI Kosh, and four AI tools developed by IITs will soon be released. He further stated that techno-legal solutions are being developed to strengthen the electronics ecosystem.
The minister further informed that ECMS has a strong pipeline of projects ready for approval and expressed confidence that this marks just the beginning of India’s rapid growth as a global electronics hub.
Moreover, addressing the session, S Krishnan, secretary, Ministry of Electronics and IT (MeitY), said that ECMS aims to firmly establish India as electronic manufacturing superpower in the world. He added the MeitY will work with all the stakeholders to make the scheme a great success.
This scheme goes beyond incentivising subassemblies and components—it adopts a comprehensive approach by encompassing the entire supply chain associated with these elements. In addition to fostering the development of components and subassemblies, it also extends support to capital equipment, ensuring the inclusion of essential machinery that drives manufacturing processes. Moreover, it incentivises the subassembly of equipment used in manufacturing, reinforcing an integrated system that enhances efficiency and production capabilities. By incorporating these critical aspects, the scheme promotes a robust, interconnected ecosystem, strengthening domestic manufacturing.
The scheme places a strong emphasis on the performance of applicants, ensuring that incentives are allocated based on a first-come, first-served approach. This structure encourages efficiency, proactive participation, and timely application submissions, fostering a competitive yet fair environment.
Furthermore, the scheme guidelines that govern the implementation process have been designed with clarity and precision, ensuring they remain simple and unambiguous. The guidelines uphold the ease of doing business, making compliance straightforward and accessible for all stakeholders. By eliminating unnecessary complexities and streamlining procedural requirements, the guidelines facilitate efficient execution while fostering a conducive environment.
Further, Sarvam AI was selected to build India’s first indigenous AI foundational model, marking a major milestone in the country’s AI innovation ecosystem.
