SF Prep Notes

Cabinet approves Electronics Component Manufacturing Scheme with ₹22,919 crore outlay

The Union Cabinet approved the Electronics Component Manufacturing Scheme (ECMS) with an outlay of ₹22,919 crore on 28 March 2025 to build India's electronics component supply chain.

Summary

The Union Cabinet chaired by Prime Minister Narendra Modi approved the Electronics Component Manufacturing Scheme (ECMS) on 28 March 2025 with funding of ₹22,919 crore. The scheme aims to attract large global and domestic investment in component manufacturing, raise domestic value addition and link Indian firms to global value chains. It targets investment of ₹59,350 crore, production worth ₹4,56,500 crore and 91,600 additional direct jobs. It offers differentiated incentives: sub-assemblies such as display and camera modules, and bare components such as non-SMD passive components, multi-layer PCBs and Li-ion cells for digital applications, get turnover-linked incentives.

Key facts

Approved
28 March 2025, Union Cabinet
Outlay
₹22,919 crore
Investment target
₹59,350 crore
Production target
₹4,56,500 crore
Direct jobs
91,600
Turnover-linked incentive for
Display and camera module sub-assemblies; bare components like multi-layer PCBs, Li-ion cells (digital)

Practice MCQs 3 questions

Q1

On which date did the Union Cabinet approve the Electronics Component Manufacturing Scheme (ECMS)?

Show answer

Correct answer: B — 28 March 2025

The Union Cabinet approved ECMS on 28 March 2025 with an outlay of ₹22,919 crore.

Q2 Advanced

What production target was set for the Electronics Component Manufacturing Scheme when it was approved on 28 March 2025?

Show answer

Correct answer: D — ₹4,56,500 crore

The scheme targets production of ₹4,56,500 crore; ₹59,350 crore is the investment target.

Q3 Advanced

Consider the following statements about the Electronics Component Manufacturing Scheme approved on 28 March 2025: 1. Display module and camera module sub-assemblies are covered under a turnover-linked incentive. 2. Li-ion cells for storage and mobility applications are among the bare components covered. Which of the above is/are correct?

Show answer

Correct answer: A — 1 only

Display and camera module sub-assemblies get a turnover-linked incentive. The Li-ion cell category covers digital applications and excludes storage and mobility.

← All current affairs