Lok Sabha Question No. 2727 (UNSTARRED), answered on 2024-08-07
Subject: Electronic Manufacturing Companies
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Shri M K Raghavan, Thiru Dayanidhi Maran, Shri Y S Avinash Reddy, Shri Navaskani K, Shri Selvam G, Shri C N Annadurai, Shri Vishnu Datt Sharma, Dr. Bhola Singh

## GOVERNMENT OF INDIA MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA

## UNSTARRED QUESTION NO. 2727

TO BE ANSWERED ON 07.08.2024

## ELECTRONIC MANUFACTURING COMPANIES

## 2727   SHRI Y S AVINASH REDDY:

SHRI C N ANNADURAI:

SHRI VISHNU DATT SHARMA:

SHRI NAVASKANI K:

SHRI SELVAM G:

THIRU DAYANIDHI MARAN:

SHRI M K RAGHAVAN:

DR. BHOLA SINGH:

Will  the  Minister  of  ELECTRONICS  AND  INFORMATION  TECHNOLOGY  be  pleased  to state:

- (a) the  details  of  the  total  number  of  Electronic  Manufacturing  Clusters  sanctioned  in  the country  and  the  list  of  projects  sanctioned  for  the  State  of  Tamil  Nadu  along  with  the details of each cluster in terms of investment received, employment generated whether it is direct or indirect;
- (b) whether  the Government  has  set  a  target of increasing electronics  manufacturing capability  upto  Rs.  24  lakh  crores  by  2025-26  as  a  part  of  New  India  for  Young  India Initiative, if so, the details thereof;
- (c) whether the Government has initiated any upskilling of Engineering  graduates to  equip them with modern technologies, if so, the details thereof;
- (d) whether the Government has allocated funds for the Production Linked Incentive (PLI) to boost the production, have any data and any target on the state of electronic manufacturing in the country since the launch of PLI schemes, if so, the details thereof;
- (e) MoU signed with any companies to set up electronic manufacturing industries in Kerala & Tamil Nadu;
- (f) whether the Government has taken any steps to ensure that electronic medical assistance devices are made affordable for the common man, if so, the details thereof;
- (g) whether the Government is aware of the contribution of Kerala in the country's electronics and information technology output; and
- (h) if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI JITIN PRASADA)

(a) to (h) Under the Electronics Manufacturing Clusters (EMC) and EMC 2.0 Schemes, 24 EMC projects  and  4  Common  Facility  Centres  (CFCs)  have  been  approved  in  19  states  across  the country.

Under  Ministry of Electronics and Information Technology  ('MeitY')'s'Modified Special Incentive Package Scheme (M-SIPS)', 33 applications were received from Tamilnadu. The total production carried out by companies who have commenced manufacturing in Tamil Nadu state is Rs. 1,38,452crore. The total exports carried out by such companies for products approved under MSIPS is Rs 57,720 crore.

Under  MeitY's  'Scheme  for  Promotion  of  Manufacturing  of  Electronic  Components  and Semiconductors (SPECS)' 7 applications were approved in Tamilnadu. The total investment by these applicants in Tamilnadu is than Rs 6,852 crore.

Under PLI  scheme  for  large  scale  electronics  manufacturing,  4  applicants  based  in  Tamilnadu have been approved. Tamilnadu has emerged as an important centre for manufacture of mobile phones. Workforce of more than 43 thousand in Tamilnadu is engaged in manufacture of Apple phones alone.

Under Electronics  Manufacturing  Clusters  (EMC)  scheme,  M/s  Kerala  Industrial  Infrastructure Development Corporation (KINFRA) accorded approval for setting up of a Greenfield EMC over an area of 66.87 acres at Kakkanad village, Kanayannurtaluk, Ernakulam district in the state of Kerala.12 companies have taken manufacturing space for setting up of their facilities in the EMC.

Government  has  been  implementing  following  programs  focused on  development  of electronics manufacturing and components ecosystem:

- (i) The Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors  (SPECS)  was  notified  on  01.04.2020  and  was  open  to  receive applications  upto  31.03.2024.  The  scheme  provides  a  financial  incentive  of  25%  on capital expenditure for electronic components, e-waste recycling, mechanics, micro/nano-electronic  components,  solar  photovoltaic  (SPV)  polysilicon,  SPV  wafers and  solar  cells,  specialized  sub-assemblies  and  capital  goods  for  manufacture  of aforesaid  goods. As of, 30.06.2024, incremental investment of  Rs.9066.96 crore had been made under the SPECS scheme. This has led to production of Rs. 19,902 crore till 30 th June,2024.
- (ii) Production  Linked  Incentive  (PLI)  Scheme  for  Large  Scale  Electronics : To  boost domestic manufacturing and attract investment in mobile phones value chain including electronic  components  and  semiconductor  packaging,  Production  Linked  Incentive Scheme (PLI) for Large Scale Electronics Manufacturing was notified on 01.04.2020. The scheme extends an incentive of 3% to 6% on incremental sales (over base year) of goods manufactured in India and covered under target segments viz. Mobile Phones and Specified Electronic Components, to eligible companies, for a period of 5  years. Till 30th June, 2024, incremental investment of Rs 8,390 Crores had been made under the PLI scheme. This has led to production of Rs 5,14,960 Crores till 30th June, 2024.

MeitY  has  initiated  'FutureSkills  PRIME'  a  programme  for  Re-skilling/Up-skilling  of  IT Manpower for Employability in 10 new/emerging technologies. These include AI, Blockchain,  Robotics,  Big  Data  &  Analytics,  IoT,  Virtual  Reality,  Cybersecurity,  Cloud Computing, 3D Printing and Web 3.0.

Government  has  initiated  'Visvesvaraya  PhD  Scheme'  with  the  objective  to  enhance  the number of PhDs in Electronics System Design & Manufacturing (ESDM) and IT/IT Enabled Services (IT/ITES) sectors including AI and Emerging Technologies.

Under the Chips to Startup (C2S) Programme being implemented at 113 academic institutions/ R&D organizations/ Start-ups/ MSMEs, 85,000 number of high-quality and qualified engineers are  being  trained  in  several  areas.  These  include  Very  large-scale  integration  (VLSI)  and Embedded System Design as well as development of 175 ASICs (Application Specific Integrated Circuits), working prototypes of 20 System on Chips (SoC), 30 FPGA based designs and 30 IP Cores over a period of 5 years.

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