“Do not just assemble, design in India”; Ashwini Vaishnav’s Nirvani warning to electronics companies, otherwise…

• “Do not just assemble, design in India”
• Ashwini Vaishnav’s warning of Nirvani to electronics companies
• Otherwise…

Ashwini Vaishnav Electronics News 2026: Union Electronics and Information Technology Minister Ashwini Vaishnav has issued a stern warning to the industry in these words, “Electronics companies that do not invest seriously in product design in India will not be given incentives and financial benefits from the government.” Speaking at a press conference held in New Delhi, he explained the new and strict stance of the government.

Incentives are now based on ‘merit’

Ashwini Vaishnav explained that the government support under the ‘Electronics Component Manufacturing Scheme’ (ECMS) will no longer depend on production alone. Further incentives will be given to the extent to which companies develop design, quality and engineering capabilities in India. “If companies do not take steps as per the government’s expectations, we may withhold further approvals and funding,” he warned.

Minister’s displeasure: “Reform, else tough decision”

The Minister expressed deep displeasure over the slow pace of development of design and quality capabilities by companies. They mandated industry to work on four key demands:

1. Conceptual Design: Originating the product concept in India.

2. Engineering Design: Developing the technical framework in the country itself.

3. Manufacturing Design: To further advance the actual manufacturing process of the product.

4. World Class Quality: Adopting global standards like ‘Six Sigma’.

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Alarm bells for approved projects too

The Minister clarified that if the projects which have already received approval do not fulfill these conditions, their funds will not be released. “We will not be satisfied with just assembly or basic manufacturing. The real ‘value’ is created only when the design is done in India,” noted Vaishnav.

Scheme statistics and investment focus

• Fourth Stage: In the fourth phase of the scheme, 29 applications have been sanctioned, involving an investment of Rs 7,104 crore.
• Overall Objective: While the investment target under ECMS was Rs 59,350 crore, proposals worth Rs 61,671 crore have been sanctioned so far.

A call for emphasis on skilled manpower

Emphasizing on product reliability and accuracy, the Minister urged industries to create ‘Skilled Manpower’. The government will support the entire ecosystem, he said, but companies themselves should take the initiative and create skilled talent in design and engineering.

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