The government has cleared 31 applications involving an investment of Rs 7,877 crore under the fifth tranche of the Electronics Component Manufacturing Scheme (ECMS), giving a fresh boost to India's electronics manufacturing ambitions and companies including Kaynes Technology, Motherson and Wipro.
The approvals are expected to translate into Rs 82,243 crore of investment, according to details shared by the Ministry of Electronics and Information Technology (MeitY). The latest tranche covers products including capital goods, camera modules, display modules, connectors, rare earth permanent magnets, speakers and microphones.
The ECMS has emerged as one of the government's fastest-moving manufacturing programmes, with applications continuing to come in, said MeitY Secretary S Krishnan.
Among the projects cleared, Kaynes Technology's printed circuit board (PCB) plant is expected to become operational within a month. Dixon Technologies is expected to commission its approved facility within around four months, while Motherson's Kanchipuram facility and Wipro's plant are likely to become operational over the next two to three months.
Several other approved projects are also expected to come on stream over the next six months, indicating a faster transition from government approvals to actual manufacturing capacity.
Under the 5th tranche of the Electronics Component and Manufacturing Scheme (ECMS), several major listed and prominent companies have secured government approvals to significantly boost domestic manufacturing capabilities across key hardware and component sectors. Leading the high-value commitments, Wipro secured approval for a substantial investment of Rs 1,033 crore dedicated to copper-clad laminates, closely followed by Jyoti CNC with a Rs 1,021 crore investment targeted at capital goods manufacturing.
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The capital goods and core components segment saw further momentum with approval for Micromax Precision Moulding's Rs 565 crore proposal for unit enclosures, as well as Quantum Magnetics' Rs 400 crore initiative focused on producing rare earth permanent magnets. In the advanced chemical and material space, PCBL Chemical, a part of the RPSG Group, gained approval for a Rs 329 crore investment in acetylene black manufacturing, alongside Acutaas Chemicals, which was cleared for a Rs 119 crore investment in electrolyte additives.
Additionally, a strong roster of key electronics manufacturers obtained targeted approvals to expand specialized product lines. Minda Instrument Ltd was approved for a Rs 270 crore investment in display modules assembly, while VVDN Technologies and Japan's Mitsubishi Electric received approvals for capital goods investments of Rs 100 crore and Rs 99 crore, respectively. Rounding out this tranche of expansion are Syrma SGS with a Rs 60 crore approval for coil manufacturing, and Centum with a Rs 50 crore allocation.
The focus on components such as PCBs, camera and display modules, connectors and other electronics parts is aimed at strengthening India's domestic supply chain and reducing dependence on imports. Earlier ECMS approvals have similarly targeted critical components across mobile manufacturing, telecom, consumer electronics, automotive and IT hardware.
With the latest approvals, the government has already exceeded the ECMS investment target of Rs 59,000 crore. Current approved investments stand at around Rs 69,500 crore, while the latest tranche is expected to generate a much larger downstream investment impact.
The production target has also been surpassed, with approved production reaching Rs 5.34 lakh crore compared with the original target of Rs 4.56 lakh crore.
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