Kaynes, Micromax, Wipro Plants Set to go Live as Govt Approves INR 7,877 Crore ECMS Tranche

As part of the fifth round of the Electronics Component Manufacturing Scheme (ECMS), the government has approved 31 proposals totalling INR 7,877 crore. As a result, Indian electronics manufacturers like Motherson, Wipro, and Kaynes Technology have received a much-needed boost. The approvals are anticipated to result in output worth INR 82,243 crore, as revealed by the Ministry of Electronics and Information Technology (MeitY).

Items included in the most recent shipment include speakers, microphones, connections, display modules, camera modules, and rare earth permanent magnets. Applications for the ECMS are still pouring in, according to MeitY Secretary S Krishnan, making it one of the government's most dynamic manufacturing programmes.

Approved Projects Under ECMS

The printed circuit board (PCB) plant at Kaynes Technology, one of the approved projects, is anticipated to go live in about a month. It will likely be roughly four months until Dixon Technologies commissions its authorised facility. The Kanchipuram facility of Motherson and the factory of Wipro, on the other hand, are expected to become live in the next two or three months. It is anticipated that multiple other projects that have been approved will likewise be operational over the next six months. This points to a quicker turnaround time between receiving regulatory permissions and actually being able to manufacture the product.

Listed and famous enterprises have gained government authorisation under the 5th tranche of the Electronics Component and Manufacturing Scheme (ECMS). The goal of granting these licences is to greatly enhance domestic production capacity in critical hardware and component industries. In the lead of the high-value pledges, Wipro was able to get INR 1,033 crore in funding specifically for copper-clad laminates. Jyoti CNC, which is aiming to invest INR 1,021 crore in capital goods manufacturing, is just behind Wipro.

Other Major Approvals Given Under ECMS

A request for unit enclosures by Micromax Precision Moulding, valued at INR 565 crore, was approved, adding momentum to the capital goods and core components market. In addition, rare earth permanent magnets were the primary focus of Quantum Magnetics' INR 400 crore project. In the realm of advanced chemicals and materials, PCBL Chemical, which is affiliated with the RPSG Group, was approved for an investment of INR 329 crore in acetylene black production, and Acutaas Chemicals was approved for an investment of INR 119 crore (in electrolyte additives).

Moreover, a number of important electronics manufacturers were able to secure specific permits for the expansion of their specialised product lines. A display module assembly investment of INR 270 crore was authorised for Minda Instrument Ltd. Nevertheless, investments of INR 100 crore and INR 99 crore in capital goods were authorised for VVDN Technologies and Mitsubishi Electric of Japan, respectively. Centum has been allocated INR 50 crore, and Syrma SGS has been approved for INR 60 crore for coil manufacture, completing this round of expansion.