Lok Sabha Question No. 889 (UNSTARRED), answered on 2026-02-04
Subject: Building a Resilient and Diversified Electronics Supply Chain
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Shri Mohite Patil Dhairyasheel Rajsinh, Smt. Supriya Sule

## GOVERNMENT OF INDIA MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA UNSTARRED QUESTION NO. 889

TO BE ANSWERED ON: 04.02.2026

## BUILDING A RESILIENT AND DIVERSIFIED ELECTRONICS SUPPLY CHAIN

## 889. SHRI MOHITE PATIL DHAIRYASHEEL RAJSINH: SMT. SUPRIYA SULE:

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

(a) whether the Government is aware that the country continues to remain heavily dependent on imports of high-end electronic components, semi-conductors, PCBs and critical raw materials from countries such  as  China  and  Taiwan,  exposing  the  domestic  electronics  sector  to  supply-chain  disruptions, component shortages and export curbs on rare-earth minerals;

(b) whether the Government has conducted any risk and vulnerability assessment of the impact of such import  dependence  on  electronics  manufacturing  clusters,  start-ups,  Micro  Small  and  Medium Enterprises (MSMEs) and consumer electronics units operating in and around Mumbai and if so, the details thereof; and

(c) the specific steps being taken by the Government to build a resilient and diversified electronics supply chain including domestic manufacturing of critical components, semi-conductor and materials processing capabilities and value-chain investments in Maharashtra particularly in the Mumbai and Pune Region and if so, the details thereof?

## ANSWER

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

(a) to (c):   Driven by Hon'ble Prime Minister's vision of Make in India and Atmanirbhar Bharat, India aims to develop a complete manufacturing ecosystem for the electronics sector. Government's strategy for  electronic  manufacturing  journey  starts  from  finished  products  to  sub-assemblies  and  then  to components,  machinery  and  tools.  For  semiconductor  manufacturing,  the  Government  launched Semicon  India  Programme  to  build  manufacturing  capability across all the value chain of semiconductors.

For manufacturing of finished goods, the Government launched Production linked incentives (PLI) for large scale electronics manufacturing in 2020, Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) in 2020 and Production linked incentives  (PLI)  for  IT hardware in 2023. Further, government also launched the Electronics Manufacturing Clusters (EMC and  EMC  2.0)  Scheme  for  providing  plug-and-play  manufacturing  infrastructure  with  ready  land, utilities, and common facilities, reducing setup time, and enhancing production efficiency.

Electronics manufacturing in India has expanded significantly in the last 11 years. Value addition by the electronics manufacturing units in India has also increased considerably in recent 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 |

Manufacturing  of  electronic  products  involves  domestic  sourcing  as  well  as  imports  of  various components from different countries depending on competitive advantages. However, the Government periodically reviews the status of electronics manufacturing in the country and brings in necessary policy to build domestic electronics manufacturing capacity and capability in this sector, to strengthen supply chain resilience and reduce import dependence.

Government launched the Electronics Components Manufacturing Scheme (ECMS) to reduce import of components. 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. Rs. 40,000 Cr. in Budget 2026-27.

Similarly, to develop semiconductor manufacturing Government of India launched the Semicon India Program for development of semiconductors in 2022:

- Government is focused on developing the entire value chain of semiconductors which includes - designing, fabrication, assembly, testing and packaging.
- So far, 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, so far, 24 projects have been approved for financial support as part of Design Linked Incentive Scheme 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).

The Government of India initiatives are pan India in nature.  Location of the manufacturing units is decided by the industry.

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