₹41,863 Crore ECMS Push Targets Gaps in India’s Electronics Supply Chain

₹41,863 Crore ECMS Push Targets Gaps in India’s Electronics Supply Chain

Summary

The Centre has approved 22 new projects totalling ₹41,863 crore under the Electronics Components Manufacturing Scheme (ECMS) in its third tranche. That brings the scheme-backed projects to 46 and is expected to deliver production worth about ₹2.58 lakh crore and generate 33,791 direct jobs. The approvals cover 11 product segments across the electronics value chain — from PCBs and camera/display modules to lithium-ion cells and upstream materials such as aluminium extrusion and anode materials — and will be spread across eight states.

Key Points

  • 22 projects approved under ECMS third tranche with combined committed investment of ₹41,863 crore.
  • ECMS portfolio now includes 46 projects in total, expanding the scheme’s reach.
  • Latest approvals are estimated to produce goods worth ₹2.58 lakh crore and create 33,791 direct jobs.
  • Projects span 11 product segments: mobile components, telecom, consumer electronics, IT hardware, automotive and strategic electronics.
  • Critical items supported include printed circuit boards (PCBs), capacitors, camera and display modules, lithium-ion cells, aluminium extrusion and anode materials.
  • Investment footprint covers eight states: Andhra Pradesh, Haryana, Karnataka, Madhya Pradesh, Maharashtra, Tamil Nadu, Uttar Pradesh and Rajasthan.
  • Policy aim: reduce import dependence, deepen domestic component manufacturing and move beyond assembly-led production.

Content summary

MeitY approved the 22 proposals as part of the ECMS third tranche, signalling continued government focus on building a deeper domestic electronics components ecosystem. The new tranche more than doubles the projected output compared with the programme’s earlier tranches, reflecting both larger-scale investments and broader product coverage.

The projects are deliberately diverse across input stages — from upstream raw materials to finished components — to strengthen supply-chain resilience and capture higher value within India rather than only final assembly. Geographical dispersion aims to spread industrial growth and jobs across multiple states rather than concentrating capacity in a few hubs.

Context and Relevance

India has relied heavily on imported electronic components for devices assembled domestically. The ECMS push targets those gaps by incentivising local production of parts that are critical to moving up the value chain. Strengthening component manufacturing reduces supply-chain vulnerabilities (important amid global geo-economic shifts) and supports the government’s Make in India and strategic manufacturing objectives.

For logistics and supply-chain professionals, these approvals mean rising inbound and outbound component flows, changes in warehousing and transit needs for sensitive goods (e.g. lithium-ion cells), and opportunities for regional logistics hubs around new manufacturing sites.

Author style

Punchy: This is not just another subsidy announcement. The scale, product breadth and state-level spread make this tranche a meaningful step toward building a domestic electronics ecosystem that can take on higher-value work and reduce risky import dependencies.

Why should I read this?

Quick and practical — if you care about manufacturing, jobs or supply-chain risk, this matters. The government just green-lit a big batch of projects that could reshape where parts are made, who ships them and how supply chains are built in India. Saves you time: you now know the scale, the products involved and where the factories will likely pop up.

Source

Source: https://www.logisticsinsider.in/%E2%82%B941863-crore-ecms-push-targets-gaps-in-indias-electronics-supply-chain/