Lok Sabha Question No. 65 (STARRED), answered on 2026-02-04
Subject: Domestic Manufacturing of Critical Electronic Components
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Shri Praveen Khandelwal

## GOVERNMENT OF INDIA MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA STARRED QUESTION NO. *65

TO BE ANSWERED ON: 04.02.2026

## DOMESTIC MANUFACTURING OF CRITICAL ELECTRONIC COMPONENTS

## *65.  SHRI PRAVEEN KHANDELWAL:

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

- (a)  whether  a  national  framework  exists  to  promote  domestic  manufacturing  of  critical  electronic components beyond assembly; and
- (b) if so, the details of steps taken to reduce strategic import dependence?

## ANSWER

MINISTER OF ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI ASHWINI VAISHNAW)

- (a) and (b):  A Statement is laid on the Table of the House.

## STATEMENT REFERRED TO IN THE REPLY TO LOK SABHA STARRED QUESTION NO. *65 FOR  04.02.2026,  REGARDING  DOMESTIC  MANUFACTURING  OF  CRITICAL  ELECTRONIC COMPONENTS

……….

(a) and (b): Government of India's semiconductor strategy is based on Prime Minister's vision of Make in India and Atmanirbhar Bharat. This is a well thought out strategy to develop manufacturing from finished product assembly, sub-assembly, components, chip design, fabrication, packaging etc.

Electronics manufacturing in India has expanded significantly in the last 11 years.  It can be seen from the following statistics:

| #                                     | 2014-15       | 2024-25       | Remarks             |
|---------------------------------------|---------------|---------------|---------------------|
| Production of electronics goods (Rs.) | ~1.9 Lakh Cr  | ~11.3 Lakh Cr | Increased 6 times   |
| Export of electronics goods (Rs.)     | ~0.38 Lakh Cr | ~3.3 Lakh Cr  | Increased 8 times   |
| Production of mobile phones (Rs.)     | ~0.18 Lakh Cr | ~5.5 Lakh Cr  | Increased 28 times  |
| Export of mobile phones (Rs.)         | ~0.01 Lakh Cr | ~ 2 Lakh Cr   | Increased 127 times |

To further  deepen the  Value  Chain,  Government  recently  launched  Electronics  Components  Manufacturing Scheme (ECMS). The scheme aims to develop manufacturing of key components such as Printed Circuit Boards (PCBs),  passive  components,  electro-mechanical  components,  sub-assemblies,  camera  modules,  optical transceivers, and capital goods required for electronics manufacturing.

The ECMS has received unprecedented response from the industry so far.  Against the initial investment target of Rs. 59,350 crore, industry has submitted 249 proposals with total investment commitment of Rs. 1.15 lakh crore. Encouraged by the response, ECMS outlay has also been increased from Rs. 22,900 Cr to Rs. 40,000 Cr. in Budget 2026-27.

The approved applicants would manufacture a wide spectrum of electronic components such as aluminium extrusion, anode material, camera modules, capacitors, connectors, display modules, enclosures for mobile and IT hardware products and related devices, laminates, li-ion cells, optical transceivers, oscillators, PCBs (multilayer & HDI), and polypropylene film. These components are expected to be used across various sectors such as consumer electronics, telecom, automotive electronics, strategic electronics, mobile phones, and IT hardware.

To develop semiconductor  manufacturing  and  to  further  widen  the  supply  chain  ecosystem  with  respect  to manufacturing of active electronics component, Government of India launched Semicon India Program in 2022. Government is focused on developing the entire value chain of semiconductors which includes  - designing, fabrication, assembly, testing and packaging.

- In less than 3 years, ten (10) units have been approved with cumulative investment of Rs 1.6 Lakh Crore. These units include silicon fab, Silicon Carbide fab, advanced packaging, memory packaging, etc. These would  cater  to  chip  requirements  of  sectors  such  as  consumer  appliances,  industrial  electronics, automobiles, telecommunications, aerospace, and power electronics etc.
- For chip design, 24 projects have been approved under the Design Linked Incentive Scheme for financial support to design semiconductor chips for critical sectors such as video surveillance, drone detection,

energy metering, microprocessors, satellite communications, broadband technologies, and SoC for the Internet of Things (IoT).

- Government is following a strategic path to provide free access of Design Infrastructure Support with access  to  advanced  chip  design  tools,  intellectual  property  (IP)  cores,  multi-project  wafer  (MPW) fabrication services, and prototyping facilities to academia, startups and MSMEs.

Union Budget for 2026-27 has also announced Semicon 2.0 to further expand semiconductor manufacturing ecosystem.

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