In April 2025, Union Minister Ashwini Vaishnaw, Ministry of Electronic and Information Technology (MeitY), has launched the guidelines and portal for the Electronics Component Manufacturing Scheme (ECMS), a major step to strengthen the electronics manufacturing ecosystem of India.
- The scheme aims to promote domestic manufacturing, large-scale investments, and connect Indian firms with Global Value Chains (GVC).
- The scheme’s guidelines have been crafted with clarity and precision to ensure a simple, transparent, and unambiguous implementation process.
Key highlights:
i.Union Minister Ashwini Vaishnaw, highlighted the growth of electronics production which grew five-fold, exports have grown more than six-fold, compound annual growth rate (CAGR) exceeding 20% for exports and over 17% for production.
- Mobile phones, servers, laptops and IT hardware have progressed stronger
ii.Highlighting India’s advances in emerging technologies, 350 datasets have already been uploaded on AI Kosh, a unified repository for datasets tools and Artificial Intelligence(AI) models.
Note: India’s electronics production has surpassed Rs 11 lakh crore (USD129 million) annually. The country is targeting USD300 billion by 2026 and USD500 billion by 2030-31 in domestic electronics production.
About Electronics Components Manufacturing Scheme (ECMS):
i.ECMS is India’s first dedicated Production-Linked Incentive (PLI) scheme specifically focused on boosting the manufacturing of electronic components. It was launched under the umbrella of the National Policy on Electronics (NPE) 2019.
- In April 2025, the scheme was approved by the Government of India(GoI) with an outlay of Rs 22,919 crore for a period of six years from Financial Year 2025-26(FY26) to FY32.
ii.The objective of the scheme, is to develop a robust component manufacturing ecosystem by attracting investments (global & domestic) to increase in Domestic Value Addition (DVA) and increase in the global e-trade by integrating its domestic electronic industry with GVC.
iii.Target segments, being divided into 4 segments as:Sub- assemblies,Bare components, Selected bare components and Supply chain ecosystem and capital equipment for electronic manufacturing.
iv.Incentives, are provided in 3 forms :
- Turnover-linked incentive, Capex-linked incentive and Hybrid incentive.i.e. combination of both.
v.Application for the scheme will open on May 1, 2025 through an online portal(www.ecms.meity.gov.in).
- Financial Year 2024-25 (FY25) will be treated as the base year for the computation of turnover linked incentive
Sarvam AI to build India’s first sovereign LLM:
i.The GoI has selected Bengaluru (Karnataka) – based start up Sarvam to build India’s first indigenous AI Large Language Model (LLM) under the Rs.10,370 crore India AI mission.
- Sarvam, backed by Lightspeed Venture Partners, Khosla Ventures and Peak XV Partners, is the first start-up to get approved for Standard Operating Procedures(SOPs).
ii.As part of Sarvam’s LLM proposal, the company is developing three model variants:
- Sarvam – Large for advanced reasoning and generation
- Sarvam – Small for real-time interactive applications
- Sarvam – Edge for compact on-device tasks
iii.Sarvam is also collaborating with AI4Bharat, a research lab at Chennai(Tamil Nadu, TN) based Indian Institute Of Technology–Madras (IIT–Madras), a leader in Indian language AI research, to develop these models.
About Ministry of Electronics and Information Technology (MeitY):
Union Minister– Ashwini Vaishnaw (Rajya Sabha member- Odisha)
Minister of State (MoS)- Jitin Prasada (Constituency- Pilibhit, Uttar Pradesh, UP)