The Government of India’s Modified Electronics Manufacturing Clusters (EMC 2.0) Scheme, notified in April 2020, is advancing the creation of modern electronics manufacturing infrastructure across the country. The scheme focuses on developing specialised clusters equipped with shared facilities such as industrial plots, ready-built factory sheds, and plug-and-play units to strengthen India’s electronics manufacturing ecosystem.
Project Approvals and Investment Scope
So far, 11 EMC projects and two Common Facility Centres (CFCs) have been approved under the scheme, covering a total area of 4,399.68 acres. The combined project cost stands at ₹5,226.49 crore, including central government financial assistance of ₹2,492.74 crore. These projects are spread across 10 states and are projected to attract investments of about ₹1,46,846 crore, with the potential to create nearly 1.80 lakh jobs.
A minimum of 10% of the saleable or leasable area in each cluster has been earmarked for ready-built factory sheds, which are currently at different stages of implementation.
Progress and Early Outcomes
Investment commitments of approximately ₹1,13,000 crore have already been secured from 123 land allottees. Of these, nine manufacturing units have commenced operations, representing investments of ₹12,569.69 crore and generating employment for 13,680 individuals.
Assessment and Policy Impact
An independent impact assessment conducted by the National Institute for Micro, Small, and Medium Enterprises under the Ministry of MSME highlighted improvements in supply chain efficiency, reductions in logistics costs, and the creation of significant employment opportunities. The scheme’s emphasis on public financing models for ready-built factory infrastructure and plug-and-play facilities has been cited as a factor supporting investor interest.
The details were shared in the Lok Sabha by Union Minister of State for Electronics and Information Technology Jitin Prasada.
Summary:
Under the EMC 2.0 Scheme, the government has approved 13 projects across 10 states, with total investments projected at ₹1,46,846 crore. The initiative is expected to generate around 1.80 lakh jobs while strengthening India’s position in electronics manufacturing through cluster-based infrastructure development.
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