ELCINA Applauds Cabinet’s Approval of the Electronics Component Manufacturing Scheme
Electronic Industries Association of India (ELCINA) has hailed the Union Cabinet’s approval of the Electronics Component Manufacturing Scheme, a landmark initiative with an allocation of Rs 22,919 crore focusing on passive components, electromechanical components and sub-assemblies
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Vijayawada: Electronic Industries Association of India (ELCINA) has hailed the Union Cabinet’s approval of the Electronics Component Manufacturing Scheme, a landmark initiative with an allocation of Rs 22,919 crore focusing on passive components, electromechanical components and sub-assemblies.
Members of the association feel the scheme will benefit an emerging State like Andhra Pradesh to a large extent in availing the benefits as part of its focus to become a key player in electronic component manufacturing and semiconductor industry.
The scheme is aimed at strengthening India’s domestic electronics supply chain and self-reliance. The initiative is considered as a significant milestone in India’s journey towards becoming a global hub for electronics manufacturing by enhancing Domestic Value Addition and greater integration with the Global Value Chains (GVCs).
According to Rajoo Goel, Secretary General, ELCINA, the nodal national body for electronic manufacturing and components, "the Electronics Component Manufacturing Scheme is a game-changer that will reinforce India’s position as a global electronics manufacturing leader.'
He said the scheme provides targeted incentives for passives, SMD and Non-SMD, and the component eco-system at large, fostering advanced component manufacturing.
"ELCINA is happy that it’s recommendations have been incorporated in the Scheme by MeitY and expresses gratitude for the same. The initiative fills a long standing void in the supply chain and will strengthen domestic ecosystem, improving our global competitiveness. ELCINA is committed to working closely with MeitY and industry stakeholders to ensure the successful implementation of this transformative initiative."
He said ELCINA remains dedicated to advocating for policies that drive the growth of India’s electronics and component manufacturing sector and will actively collaborate with MeitY and State Governments to maximize the scheme’s impact.
Key highlights of the scheme include investment & production growth expected investment of Rs.59,350 crore and projected production output of Rs.4,56,500 crore
It focuses on employment generation by creating 91,600 direct jobs and a significant indirect employment opportunities across the value chain.
The targeted incentives for key segments Include turnover-linked incentives for display modules, camera modules, PCBs, Li-ion cells, and enclosures for IT hardware and hybrid incentives for high-density interconnect (HDI), flexible PCBs, and SMD passive components and Capex incentives to support the manufacturing ecosystem, including key components and capital goods.
