Prelims Perspective: What needs to be learned?

  • Ministry and Aim
  • Tenure of Scheme
  • Target Areas
  • Incentive Structure 

Mains Perspective: Notes need to be prepared

What needs to be known?

  • Electronics Component Manufacturing Scheme
    • Launch: In 2024 under the Minister of Electronics and Information Technology
    • Aim: To develop a robust component manufacturing ecosystem by attracting investments (global/domestic) across the value chain by integrating its domestic electronic industry with the Global Value Chains (GVCs).
    • Tenure of Scheme:
      • Turnover-linked incentive: 6 years (with 1-year gestation).
      • Capex incentive: 5 years.
    • Target Areas
      • Sub-assemblies: display modules, camera modules. 
      • Bare components: non-SMD passive components, electromechanical components, multi-layer PCBs, Li-ion cells (for digital applications) etc. 
      • Selected bare components: HDI/flexible PCBs, SMD passive components etc.
      • Supply chain ecosystem & capital equipment: manufacturing of machinery/equipment used in electronics, and ecosystem support units.
    • Incentive Structure
      • Turnover-linked incentive (based on incremental sales) 
      • Capital expenditure (Capex)-linked incentive (for investment in plant/machinery) 
      • Hybrid model (combination) for certain segments.

Source: The Hindu