With the new component scheme, India’s top electronics firms, including Dixon and Optiemus, eye to invest ₹8-10 billion in joint ventures, boosting local production and reducing import reliance.
Some of India’s leading electronics manufacturers, including Dixon, Optiemus, Zetwerk, and Bhagwati, are in talks with global component producers to form joint ventures aimed at introducing advanced technology. These companies plan to invest between ₹8 billion and ₹10 billion to enhance local production capabilities.
Other industry players, such as Amber Enterprises India, Tata Electronics, and the Murugappa Group, along with global firms like TDK Corporation, Foxconn, and AT&S, are also expected to join the initiative.
According to a report by Moneycontrol, they are awaiting the formal announcement of the Component Manufacturing Scheme before finalising their participation.
The scheme, with an approved budget of ₹229.19 billion, is expected to reduce India’s reliance on imports and strengthen its position in global supply chains. Industry leaders view this as a significant opportunity to enhance domestic value addition (DVA) and attract both local and international investments.
Dixon Technologies has already begun producing cameras, display modules, and mechanical components under the scheme. Its display module production is scheduled to commence in the third quarter of the next fiscal year, in partnership with China’s HKC. The company is also considering a joint venture for the production of camera modules.
Bhagwati Products Limited, part of Micromax, is in advanced discussions to form joint ventures for camera and display module manufacturing, with plans to invest around ₹10 billion .
The new scheme may also reduce India’s trade deficit and create job opportunities. Industry experts predict that it will take 12-24 months to fully integrate India into global electronics value chains, with some components qualifying faster than others.
