MSMEs lead the charge in Govt’s electronic component manufacturing scheme

By Staff Report May 19, 2025 6:30 pm IST

The government’s ₹22,805 crore ECMS scheme has seen a strong response, with MSMEs accounting for 80% of the 70 applications received in just 15 days.

The Electronics Component Manufacturing Scheme (ECMS), which is worth Rs 22,805 crore, has received 70 applications in just 15 days, according to Union IT Minister Ashwini Vaishnaw. Approximately 80% of these applications come from MSMEs, or micro, small, and medium-sized businesses.

The goal of the ECMS, which went live on May 1, is to close the gap between supply and demand in the electronics component industry. The Electronic Industries Association of India (Elcina) estimates that this disparity, mostly as a result of growing domestic production demands, may reach $248 billion by 2030.

The scheme allots Rs 21,093 crore for important sub-assemblies, including passive parts, multi-layered and flexible printed circuit boards (PCBs), and camera modules. A further Rs 1,712 crore has been set aside for capital goods and parts used in sub-assemblies in the production of electronics. It classifies parts like camera and display modules under Category A and bare parts, lithium-ion batteries, and electronic enclosures under Category B.