New Delhi, April 26 (IANS) Industry leaders on Saturday said the Rs 22,919 crore Electronics Components Manufacturing Scheme (ECMS), initiative marks a significant milestone in bolstering India's electronics manufacturing ecosystem and increasing domestic value addition, complementing the semiconductor policy support.

After Union Minister Ashwini Vaishnaw released the ECMS scheme guidelines and portal in the national capital, Ashok Chandak, President, SEMI India and IESA, congratulated the IT Ministry for the initiative, saying they actively promote India's policies on both domestic and global platforms to attract investments and develop the ecosystem with a prospect of global markets.

“In the upcoming SEMICON India event in September, we hope to have several companies and members demonstrating the progress in this direction,” Chandak mentioned.

The ECMS, with a total budget outlay of Rs 22,919 crore, aims to attract investments of Rs 59,350 crore, resulting in the production of Rs 4,56,500 crore worth of products and generating additional direct employment of 91,600 people, thereby strengthening India's position as a global hub for electronics manufacturing.

Pankaj Mohindroo, Chairman, ICEA, said they thank the government for accepting their core recommendations, including the structure of the scheme, hybrid support combining turnover and capex incentives, and especially support for capital equipment.

“The mobile phone industry has already built a strong production base of nearly $62 billion, and now, with the ECMS, this momentum will extend deep into the components and sub-assembly ecosystem,” he said in a statement.

As we move forward, integration with Global Value Chains (GVCs) will be critical to building scale, competitiveness, and Indian champions.

“We are confident that this scheme will be very successful, and ICEA, along with the government and industry, will drive tangible outcomes to build a strong and resilient electronics manufacturing ecosystem in India,” Mohindroo added.

Applications for the ECMS scheme will open from May 1 for an initial period of three months and can be reopened based on industry response.