70 Firms Rush For INR 22,805 Crore Electronics Scheme in 15 Days, 80% Are SMEs: Govt The industry body projects a demand-supply gap of $248 billion (approximately INR 21 lakh crore) in electronic inputs by 2030, assuming India meets its electronics production target of $500 billion.
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The Centre's ambitious INR 22,805-crore electronics component manufacturing scheme has drawn a sharp early response, with 70 companies submitting applications within just 15 days of the window opening, Union Minister for Electronics and IT Ashwini Vaishnaw told PTI.
Launched on May 1, the scheme is aimed at narrowing the growing demand-supply gap in India's electronics ecosystem, which has been heavily reliant on imports. "Electronics Component Manufacturing Scheme has received tremendous response. Within 15 days of opening the application, around 70 applications have come," Vaishnaw said.
A striking feature of the initial response is the dominance of small and medium enterprises (SMEs) among the applicants. "Eighty per cent of the applications have come from small and medium enterprises," the minister noted, highlighting the sector's grassroots momentum.
While Vaishnaw did not name any applicants, sources have previously indicated that major players like Tata Electronics, Dixon Technologies, and Foxconn have expressed interest in participating.
The scheme's goal is to catalyse domestic manufacturing of critical components and reduce India's dependence on imports, an issue flagged by the Electronic Industries Association of India (Elcina). The industry body projects a demand-supply gap of $248 billion (approximately INR 21 lakh crore) in electronic inputs by 2030, assuming India meets its electronics production target of $500 billion. In the absence of decisive intervention, most of that gap would need to be met through imports, Elcina warns.
A significant chunk of the scheme's funding (INR 21,093 crore) has been allocated to support the production of key sub-assemblies such as camera modules, multi-layered printed circuit boards (PCBs), flexible PCBs, and passive components. An additional INR 1,712 crore has been set aside for parts used in these sub-assemblies and for capital goods essential to electronics manufacturing.
The scheme categorizes components into four segments. Category A includes display and camera modules, Category B covers core components like non-surface mount devices, lithium-ion cells, and device enclosures, while Category C includes items like flexible PCBs and SMD passive components. Category D comprises supporting components and capital goods used in producing the other three.
Applications for categories A, B, and C are open for three months from May 1, while Category D will remain open for two years.
