India Approves Rs 7,104 Cr for Electronics Component Manufacturing

India has taken another big step in strengthening its electronics component manufacturing sector. Today, the government approved the fourth tranche of the Electronics Component Manufacturing Scheme (ECMS).  

This latest round includes 29 new investment proposals with a total outlay of Rs 7,104 crore, aimed at boosting domestic production of electronic components and reducing dependence on imports. The Electronics Component Manufacturing Scheme is part of India’s ongoing effort to become a key player in global electronics supply chains.

With this approval, the government seeks to promote self-reliance in producing critical parts like printed circuit boards (PCBs), sensors, connectors, camera modules, and batteries that are vital for smartphones, laptops, electric vehicles, and industrial electronics.

Officials from the Ministry of Electronics and IT highlighted that the new approvals will not only increase domestic manufacturing capacity but also create over 14,000 new jobs across engineering, assembly, supply chain, and quality control sectors. The government expects these investments to strengthen local supply chains, improve production quality, and make Indian electronics globally competitive.

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This move comes under the larger ECMS budget framework, which was expanded to Rs 40,000 crore in the Union Budget 2026–27. Since the scheme began, it has attracted investment commitments exceeding Rs 1.15 lakh crore, highlighting strong investor confidence. Electronics production in India has grown significantly, from about Rs 1.9 lakh crore in FY15 to Rs 11.3 lakh crore in FY25, reflecting the transformative impact of policy support.

Experts say this tranche of approvals is timely as India aims to reduce import dependency and scale its electronics ecosystem. With the sector already being the third largest export category in FY25, the ECMS will further position India as a competitive alternative to East Asian supply hubs. The government’s target is to develop a USD 500 billion electronics manufacturing ecosystem by 2030–31, and this investment round brings India closer to achieving that milestone.

With this fourth tranche, India strengthens its position as a global hub for electronics production, ensuring more domestic manufacturing, job creation, and global supply chain integration.

Report in Pointers

• Government approval: 4th tranche of ECMS cleared on March 30, 2026.
• Projects approved: 29 new investment proposals.
• Investment outlay: Rs 7,104 crore for this tranche.
• Job creation: Expected to generate over 14,000 new jobs.
• Core components: Focus on PCBs, sensors, connectors, camera modules, batteries.
• Budget expansion: ECMS now at Rs 40,000 crore in Union Budget 2026–27.
• Cumulative investment: Over Rs 1.15 lakh crore committed since scheme launch.
• Production growth: Electronics production rose from Rs 1.9 lakh crore in FY15 to Rs 11.3 lakh crore in FY25.
• Exports: Sector is India’s third largest export category in FY25.
• Strategic goal: Build a USD 500 billion electronics manufacturing ecosystem by 2030–31.
• Global impact: Strengthens domestic supply, reduces import dependency, enhances India’s competitiveness in electronics manufacturing.