EMCS

The aims to promote electronics manufacturing by providing financial assistance for cluster-based infrastructure. Through this scheme, infrastructure support is provided to electronics manufacturing units in identified clusters.

The scheme "Electronics Manufacturing Clusters (EMC) Scheme" has been launched by the Ministry of Electronics and Information Technology, Government of India. It has two components, namely Greenfield Electronics Manufacturing Clusters (EMCs) and Common Facility Centres/ Brownfield Electronics Manufacturing Clusters. The scheme aims to create basic infrastructure along with common facilities and amenities to enable domestic and global electronics manufacturing units to establish their operations within such clusters, and to develop a robust electronics manufacturing ecosystem in the country. The establishment of these EMCs is expected to attract significant investment from electronics manufacturing units, generate large-scale employment opportunities, and contribute to government tax revenues, thereby supporting overall economic growth.

• The applicant should be a legal entity such as an individual, company, society, industry association, financial institution, research and development (R&D) institution, or government agency.
• The applicant should form a Special Purpose Vehicle (SPV) for implementation.
• The applicant should submit a preliminary application along with a feasibility study and project details.
• The applicant should ensure that the committed investment is at least 4 times the assistance sought.
• The applicant should ensure that at least 75% of the investment is in electronics manufacturing units.
• The applicant should develop a new Electronics Manufacturing Cluster (EMC).
• The applicant should procure land for the project.
• The applicant should achieve financial closure before submitting the final application.
• The applicant should submit a Detailed Project Report (DPR).

> Financial Assistance:

• For Greenfield EMCs:

• Financial assistance up to 50% of the project cost.
• Ceiling of ₹50,00,00,000/- for every 100 acres (pro-rata for larger areas).

• Government grant in:

• Processing area: up to 50% of the project cost.
• Non-processing area: up to 20% of project cost.

> Infrastructure Support:

• Basic infrastructure (boundary wall, internal roads, drainage, lighting).
• Essential services (water treatment, electricity, waste management, warehousing).
• Support services (R&D centres, training facilities, IT infrastructure).

> Administrative Support:

• Administrative expenses up to 3% of assistance (only for SPV).

> Mode of Disbursement:

• Grant-in-aid is released in installments through escrow account.
• Initial 20% released as advance; subsequent installments based on utilisation and contribution.