Govt approves 12 more electronics component projects under ₹40K cr scheme

The 12 new ECMS projects are expected to generate production worth ₹39,045 crore and create 7,127 direct jobs, while the ISM 2.0 portal will accept only complete applications.

The government on Friday approved 12 new applications under the ₹40,000 crore Electronics Component Manufacturing scheme, taking the total number of proposed electronics component manufacturing units in the country to 118.

 

The new applications, approved by the Ministry of Electronics and Information Technology on Friday, entail a production worth ₹39,045 crore and are expected to add 7,127 direct jobs in the sector.

 

These projects span Gujarat, Karnataka, Madhya Pradesh, Maharashtra, Punjab, Tamil Nadu, and Uttar Pradesh and will produce copper foil, cathode active material, speciality ceramics, multi-layer printed circuit boards, relays, and heat sinks.

 

Speaking at the event, Union Electronics and Information Technology Minister Ashwini Vaishnaw said that approving these new projects, along with past projects in the electronics component manufacturing ecosystem, will lay the “foundation for the growth of the semiconductor and electronics industry”.

  

“India is strengthening its domestic electronics manufacturing ecosystem, with a growing focus on manufacturing computers and their components within the country, reducing import dependence and building a robust, self-reliant electronics value chain,” Vaishnaw said.

 

On Friday, Vaishnaw also launched a web portal that will start accepting applications for machine and materials units, setting up new chip fabrication units, and strengthening semiconductor assembly, testing, marking, and packaging, as well as outsourced assembly and testing units in the country under the second phase of the ₹1.27 trillion India Semiconductor Mission.

 

In the second phase of the mission, however, the government will accept only applications that are complete in all aspects, the union minister said, adding that there is no place for “placeholders” and “frivolous applicants” in the new scheme.

 

“The portal will accept only those applications which are complete in all respects. Its purpose is that only extremely serious players should participate. There is no place for frivolous applicants...we have made this clear to the industry,” Vaishnaw said.

 

A similar approach will also be followed for applications yet to be approved under the ECMS scheme, he said, adding that any applicants found bidding for the new electronics component manufacturing units for the sake of it will be removed from the list.

 

“Under the ECMS scheme, we have received 275 applications till date. On closer scrutiny, we found that nearly 17-18 of these applicants did not have the right approvals, technology vendors, or other basic requirements for setting up a new unit in place,” a senior government official said, explaining the rationale for removing non-serious players from the consideration list.