₹7,104 Cr boost under ECMS as government approves 29 proposals

The government has approved 29 additional proposals under the Electronics Components Manufacturing Scheme (ECMS), entailing a projected investment of ₹7,104 crore and expected to generate 14,246 direct jobs , the Ministry of Electronics and IT said on Monday. With this tranche, the total number of approved applications under the scheme rises to 75 , involving investments worth ₹61,671 crore and employment potential for over 65,000 people .

The newly cleared projects span 16 product categories with cross-sector applications, including mobile manufacturing, telecom, consumer electronics, automotive, and IT hardware. These include display modules, antennas, capacitors, connectors, heat sinks, Li-ion cells, resistors, inductors, and key supply chain items such as laminates, metallised films, and rare earth permanent magnets.

A major highlight is the approval for a ₹700 crore Rare Earth Permanent Magnet facility by Lohum Cleantech in Uttar Pradesh , marking India’s first project to manufacture such magnets from rare earth oxide, a significant step toward self-reliance in advanced materials. The tranche also includes the country’s first SMD passive plant for tantalum capacitors and a flexible PCB manufacturing unit.

Union IT Minister Ashwini Vaishnaw emphasised that companies must focus on in-house design capabilities, Six Sigma quality standards, robust domestic supply chains, and workforce skills to remain eligible for future incentives. He warned that firms failing to meet these expectations could face halted disbursements or approvals .

Key approvals include companies like Dixon Display Technologies, VVDN Technologies, Molex India, TDK India, and Syrma Strategic Electronics , among others. Additionally, six firms have been cleared to develop capital equipment manufacturing capabilities.

The government said the move will reduce import dependence , strengthen local supply chains , and accelerate India’s ambition to become a global electronics manufacturing hub amid evolving geopolitical dynamics.