New Delhi: The Ministry of Electronics and IT has announced it has received investment proposals worth over Rs. 1.15 lakh crore under the new electronics component manufacturing scheme. “Against a production target of Rs 4,56,500 crore, we have received production estimates more than Rs 10,34,000 crore”, IT Minister Ashwini Vaishnaw told reporters on Thursday. Based on the quantum of the investment, this involves employment generation of almost 1,41,000 people, from the earlier estimate of 91,600.
₹1 lakh crore+ investment proposals under the Electronics Component Manufacturing Scheme reflect global confidence in Bharat under PM @narendramodi Ji’s leadership. 🇮🇳
✅ Driving further growth in jobs, production & technology. pic.twitter.com/OerKQ9c1mZ
— Ashwini Vaishnaw (@AshwiniVaishnaw) October 2, 2025
Component Manufacturing scheme: Complementing PLI
According to the Ministry’s data, as many as 249 proposals have been received for a variety of components- from printed circuit boards to camera modules, resistors, capacitors, lithium cell enclosures and other sub-assembly parts. This would complement the hugely successful PLI scheme, under which India has now become the world’s second-largest smartphone exporter.
The PLI scheme has helped Original Equipment Manufacturers (OEMs) like Foxconn to tap the abundant, cheap labour available in India, but the value addition has been limited to assembling, with just under 20% of the components used being manufactured locally.
With this scheme, the government aims to increase that by up to 40%, and the encouraging response could make that possible sooner or later.
Boost to Make In India
This development comes at a time when manufacturers are seeking to reduce their reliance on China’s dominance in the electronics supply chain, particularly as India offers a viable alternative. Besides component manufacturing, the IT Ministry has already seen a tremendous response to its DLI scheme, with the hope that India moves up the value chain from designing chips to manufacturing a large portion of them.
The applications for the Electronics Components Manufacturing Scheme have closed for now, except for those dealing with heavy manufacturing equipment to allow them time to establish their facilities. Incentives for the scheme will be given on a ‘first-come, first-served’ basis, even as the government hasn’t revealed further details.
