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India’s Electronics Component Scheme Attracts Over Rs 1 lakh Crore: Ashwini Va
India’s Electronics Component Scheme Attracts Over Rs 1 lakh Crore: Ashwini Vaishnaw
The Union Cabinet had approved the Electronics Component Manufacturing Scheme in March with a budget outlay of Rs 22,919 crore for six years. The objective of the scheme is to attract large-scale investments into the electronics component manufacturing ecosystem, build domestic value addition, and integrate Indian companies with global value chains (GVCs).
New Delhi: Union Minister for Electronics and IT Ashwini Vaishnaw on Thursday announced that the government has received investment proposals worth Rs 1.15 lakh crore under the Electronics Component Manufacturing Scheme. The scheme was launched to boost domestic production of electronic components and devices in India.
"The investment applications of more than Rs 1 lakh crore under the Electronics Component Manufacturing Scheme clearly show PM Narendra Modi's focus on electronics manufacturing and the trust developed by the world in India in the last 11 years. This trust is resulting in investment, employment, and extra production," he said.
The minister said the proposals have exceeded expectations in terms of investment, employment, and production targets compared to what was initially envisioned at the time of designing the scheme. “The application window for the scheme closed on September 30, and we have received investment proposals worth Rs 1,15,351 crore,” Vaishnaw said.
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He added that while the government had originally projected around Rs 59,000 crore of investment under this scheme, the final proposals have nearly doubled that amount. The application window for the capital equipment segment of the scheme remains open.
The Union Cabinet had approved the Electronics Component Manufacturing Scheme in March with a budget outlay of Rs 22,919 crore for six years. The objective of the scheme is to attract large-scale investments into the electronics component manufacturing ecosystem, build domestic value addition, and integrate Indian companies with global value chains (GVCs).
It aims to create a strong component ecosystem by offering targeted incentives to Indian manufacturers across different categories of components and sub-assemblies, enabling them to enhance scale and technological capabilities. The scheme initially targeted Rs 59,350 crore of investment, Rs 4,56,500 crore worth of production, and the creation of 91,600 direct jobs along with numerous indirect employment opportunities -- accelerating India's growth in the electronics manufacturing sector.
Electronics and IT Secretary S. Krishnan said that the proposals submitted under the scheme include commitments to generate employment for 1.41 lakh people, significantly higher than the target of 91,600 jobs.
Source: ZeeNews
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