Gandhinagar:  Gujarat Chief Minister has announced the launch of the Gujarat Electronics Component Manufacturing Policy-2025 (GECMS-2025). The new policy aims to transform Gujarat into a global hub for electronics component manufacturing by attracting investments exceeding ₹35,000 crore and creating a significant number of high-skilled jobs.

Double Incentives for MeitY-Approved Projects

A standout feature of GECMS-2025 is its provision for 100% top-up support to projects approved under the Central Government’s Electronics Components and Semiconductors (ECMS) scheme. Projects approved by the Ministry of Electronics and Information Technology (MeitY) will be eligible for double incentives — both from the Centre and the Gujarat Government — offering a compelling advantage for manufacturers choosing to operate in the state.

Once a project receives MeitY’s nod, it will automatically qualify for matching assistance from the Gujarat Government, which will disburse its share within 30 working days after the Centre releases its portion.

Strategic Vision and Objectives

The policy outlines clear objectives:

• Establish Gujarat as a strong player in global electronics supply chains.
• Reduce dependency on imported electronic components.
• Promote local manufacturing to drive exports and value addition in global value chains (GVCs).

With Gujarat already home to four semiconductor fabrication units, the policy seeks to stimulate the upstream electronics industry, further enhancing the state’s technological capabilities and supply chain resilience.

Eligible Sectors and Investment Targets

The policy encourages investments in key sectors such as:

• Multi-layer and HDI printed circuit boards (PCBs)
• Lithium-ion battery cells
• Surface Mount Devices (SMDs)
• Display and camera modules
• Passive components and essential electronic parts
• Specialized machinery for electronics manufacturing

These focus areas are expected to drive domestic value addition and help reduce India’s reliance on electronics imports.

Incentives and Support Structure

• Projects eligible under GECMS-2025 will receive turnover-linked incentives for a duration of six years.
• Projects receiving benefits under this new policy will not be eligible for incentives under the Gujarat Electronics Policy 2022-28 to avoid overlap.
• Assistance for common infrastructure and logistics in electronics manufacturing clusters will be provided on a need basis.

Support for Innovation and R&D

To bridge the talent and innovation gap, the policy includes provisions for generous support in research and development:

• Educational and research institutions in Gujarat will be eligible for up to ₹12.5 crore in matching grants to establish Centers of Excellence, Finishing Schools, or Applied Research Labs.

Implementation and Policy Timeline

The policy will be implemented by the Gujarat State Electronics Mission (GSEM) and will remain in force for the same duration as the Central Government’s ECMS scheme.

Application Deadline

Eligible investors must apply by July 31, 2025, to avail benefits under this policy. Projects already approved by MeitY or those planning to establish operations in Gujarat will qualify for automatic inclusion.

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Official Release: 

Chief Minister Shri Bhupendra Patel Announces Gujarat Electronics Component Manufacturing Policy

State Government Aims to Make Gujarat a Global Powerhouse in Electronics Manufacturing

Policy Offers Incentives to Attract Industries and Boost Production of Multi-layer and HDI Printed Circuit Boards, Lithium-Ion Cells, Display and Camera Modules, SMD Passive Components, Electromechanical Parts, and Specialized Machinery in Gujarat

Applications for Policy Benefits Open Until 31st July 2025

– Projects sanctioned under the Central Government’s Electronics Component Manufacturing (ECMS) Scheme will receive 100 per cent central assistance when established in Gujarat

– Projects approved by the Central Ministry will receive incentives from both the Centre and the State through a single approval

– From MeitY approval to final distribution, Gujarat Government’s ECMS benefits will be available in parallel; incentive assistance will be disbursed within 30 days

– Under ECMS, turnover-linked incentives will be provided for 6 years

– Target of over ₹35,000 crore in New Investments and high-skilled employment generation in Gujarat’s electronics component manufacturing sector

Chief Minister Shri Bhupendra Patel has announced the Gujarat Electronics Component Manufacturing Policy-2025 (GECMS-2025), further strengthening Gujarat’s identity as a policy-driven state under the visionary leadership of Prime Minister Shri Narendra Modi.

Aimed at transforming Gujarat into a global hub for electronics manufacturing, this new policy brings a significant advantage: projects approved and supported by the Ministry of Electronics and Information Technology (MeitY), Government of India, will be eligible for 100 per cent central assistance when established in Gujarat. Hence, MeitY-approved projects set up in the state will receive dual incentive benefits, one from the Central Government and another from the State Government.

Thoroughly aligned with the Central Government’s Electronics Component Manufacturing Scheme (ECMS), Gujarat’s GECMS-2025 ensures a 100 per cent top-up on central support and guarantees timely disbursement of assistance. Also, once a project receives approval under the ECMS from MeitY, it will automatically become eligible for the same grant-in-aid in Gujarat. The State Government will disburse its incentive within 30 days of the Central Government releasing its assistance.

Gujarat has established itself as a leading manufacturing and automobile hub in India’s industrial landscape. With four semiconductor plants now operational in the state, the newly announced policy will further strengthen the upstream industries. This development will reduce import dependency and improve technological resilience. The policy aims to attract over ₹35,000 crore in new investments and create substantial high-skilled employment opportunities within the state’s electronics component manufacturing sector.

Unveiled by the Chief Minister, the policy will boost investment in key segments such as multi-layer and HDI printed circuit boards, lithium-ion cells, SMD passive components, display and camera modules, electronic parts, and the additional required machinery essential for their production. A core focus of the policy is to bridge the talent gap, promote innovation and offer support for Research and development initiatives. Recognised institutions based in Gujarat will be eligible for assistance of up to ₹12.5 crore from the state government to establish Centres of Excellence, Finishing Schools, or Applied Research Laboratories. Additionally, under the GECMS, turnover-linked incentives will be provided for six years. The key features, objectives, and incentives of this policy announced by the Chief Minister are as follows:

Objectives

– To establish Gujarat as a prominent player in global electronics supply chains by promoting the manufacturing of electronic components.

– By promoting local component and sub-assembly production, reduce import dependency and boost exports, thereby driving product value growth in global electronics value chains (GVCs).

Eligibility

– As per Government of India guidelines, applications to avail benefits under this policy must be submitted by 31st July 2025.

– All MeitY-approved projects operating in Gujarat will automatically be eligible for benefits under this policy.
– Projects under development or proposed in Gujarat will also be eligible for incentives under this policy.

Incentives

– Units other than those receiving assistance under Gujarat Electronics Policy 2022-28 will be eligible for benefits under this policy

– Units availing benefits under this policy will not be eligible under the Gujarat Electronics Policy 2022-28

– Incentives will be as per the terms and thresholds of the Government of India schemes

Additional Incentives

– Common Infrastructure and Logistics: Need-based assistance will be provided for the development and modernisation of common infrastructure in electronics clusters

Incentive Distribution

– The State Government will provide assistance within 30 working days after the Central Government disburses funds for approved schemes

Policy Duration

– The duration of this state policy will remain the same as the Government of India’s scheme

Policy Implementation

– The Gujarat State Electronics Mission (GSEM) will implement the Gujarat Electronics Component Manufacturing Policy-2025.

DeshGujarat