Vaishnaw warns industry of payout curbs under components scheme

Electronics and IT Minister, Ashwini Vaishnaw on Monday warned the electronics components industry that future approvals and incentive disbursements under the electronics components manufacturing scheme (ECMS) could be halted if companies fail to step up efforts on product design, quality standards, talent development and local supply chains.

Announcing the fourth tranche of approvals under the scheme, Vaishnaw said that beneficiaries that do not invest in design capabilities risk being weeded out. “I am willing to stop any further disbursements or approvals if the industry doesn’t come up with the commensurate efforts,” he said, setting a 15-day deadline for companies to submit a structured plan.