Silicon Surge: Gujarat’s Rs 35,000-Cr Electronics Policy Powers Up India’s Tech Backbone

Image Source: The Hindu Business Line

Gujarat has launched the Electronics Component Manufacturing Policy2025 (GECMS2025), with the aim of attracting investments of Rs 35,000 crore and making the state a world electronics manufacturing hub. The policy is extremely similar to the Centre's Electronics Components and Semiconductors (ECMS) scheme, offering twin incentives to investors.

Key highlights of the policy:

Ministry of Electronics and Information Technology (MeitY) sanctioned projects shall receive 100 percent topup subsidy from the state government of Gujarat and payment within 30 days of central funding.
The policy targets upstream manufacturing industries such as multilayer and HDI printed circuit boards, lithiumion battery cells, surface mount devices, camera and display modules, and specialty machinery.
There are already four semiconductor manufacturing plants in Gujarat, and the new policy will further integrate the state into electronics value chains globally.
To provide a consistent push towards innovation, the policy approves grants of up to Rs 12.5 crore to educational and research institutions to set up Centres of Excellence, Applied Research Labs, and Finishing Schools. Gujarat State Electronics Mission (GSEM) will oversee the implementation, and investor applications will be open up to July 31, 2025.

Strategic intent:

Through reducing the dependence on imports and promoting highskilled jobs, GECMS2025 aims to futureproof the industrial base of Gujarat. It further refrains from duplicating incentives under the scheme with the current Gujarat Electronics Policy 2022–28 in order to provide fiscal transparency and policy efficacy.

Sources: The Hans India, Economic Times, News24