New Delhi, March 30: India’s Electronics and Information Technology Minister, Ashwini Vaishnaw, made it clear on Monday that companies involved in the Electronics Component Manufacturing Scheme (ECMS) will only receive government assistance if they seriously invest in product design within the country.
During a press conference in the national capital, the minister stated that incentives and support will now be tied to how much companies develop design, quality, and engineering capabilities domestically.
Vaishnaw warned that if companies fail to address the government’s four major demands, they may not be invited to the next industry meeting. He expressed disappointment with the pace at which companies are enhancing their design and quality capabilities, stating that if improvements are not made, the government is prepared to take stringent actions.
He cautioned, “If the industry does not take steps according to our expectations, we may halt further approvals and funding.”
Outlining the government’s expectations, the minister emphasized that companies should not limit themselves to assembly or basic manufacturing. Instead, they must enhance their capabilities in conceptual design, engineering design, and manufacturing design.
He also mentioned that even projects that have already received approval will not receive funding if the stipulated conditions are not met. “For applications that have been approved, we will not disburse funds if our conditions are not fulfilled,” he stated.
The Electronics and IT Ministry has approved 29 applications in the fourth phase of this scheme, which involves a total investment of ₹7,104 crore. The target for total investment under ECMS was ₹59,350 crore, but proposals worth ₹61,671 crore have already been approved.
Vaishnaw asserted that true value is created when design is done in India. He noted that while manufacturing is essential, the significance of design surpasses it, as it is a more complex and strategic process.
Emphasizing the need for global quality standards, he stated that processes like Six Sigma are necessary for achieving world-class quality. “This must happen; without it, a product cannot be considered complete.” He highlighted the government’s focus on reliability, accuracy, and consistency.
The minister also urged the industry to concentrate on developing skilled manpower. He stated that the government will support the entire ecosystem, but companies must take the initiative to cultivate talent in design and engineering.
My name is Ganpat Singh Choughan. I am an experienced content writer with 7 years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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