EMCS

Electronic Manufacturing Clusters (EMC) Scheme: Greenfield Electronic Manufacturing Clusters

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.

Central Cash

States / UT: All India

Ministry / nodal: Ministry of Electronics and Information Technology

Scheme for: Infra

Scheme profile

DBT (direct benefit transfer): No

Categories: Business & Entrepreneurship

Sub-categories: Technology upgradation, Setting up / start-up / entrepreneurship

Target beneficiaries: Business Entity

Tags: Electronics Manufacturing, Financial Assistance, Cluster Based Infrastructure, Infrastructure, Setting Up Greenfield EMCs

Details

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.

Benefits

  • Financial Assistance: 1. 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). 1. Government grant in:
  • Processing area: up to 50% of the project cost
  • Non-processing area: up to 20% of project cost. Infrastructure Support: 1. Basic infrastructure (boundary wall, internal roads, drainage, lighting). 1. Essential services (water treatment, electricity, waste management, warehousing). 1. Support services (R&D centres, training facilities, IT infrastructure). Administrative Support: 1. Administrative expenses up to 3% of assistance (only for SPV). Mode of Disbursement: 1. Grant-in-aid is released in installments through escrow account. 1. Initial 20% released as advance; subsequent installments based on utilisation and contribution

Financial Assistance:

  1. 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).
  1. Government grant in:
  • Processing area: up to 50% of the project cost.
  • Non-processing area: up to 20% of project cost.

Infrastructure Support:

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

Administrative Support:

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

Mode of Disbursement:

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

Eligibility

  1. 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.
  2. The applicant should form a Special Purpose Vehicle (SPV) for implementation.
  3. The applicant should submit a preliminary application along with a feasibility study and project details.
  4. The applicant should ensure that the committed investment is at least 4 times the assistance sought.
  5. The applicant should ensure that at least 75% of the investment is in electronics manufacturing units.
  6. The applicant should develop a new Electronics Manufacturing Cluster (EMC).
  7. The applicant should procure land for the project.
  8. The applicant should achieve financial closure before submitting the final application.
  9. The applicant should submit a Detailed Project Report (DPR).

Exclusions


Application Process

Online

Step 1: The applicant should visit the official website of the Ministry of Electronics and Information Technology (MeitY).
Step 2: The applicant should navigate to the Electronics Manufacturing Clusters (EMC) Scheme section on the portal.
Step 3: The applicant should download or access the Preliminary Application Form available on the portal.
Step 4: The applicant should fill in all required details, including project information, feasibility study details, and SPV details.
Step 5: The applicant should upload the required documents such as feasibility study report, financial details, and registration documents.
Step 6: The applicant should pay the prescribed application fee through the available online payment mode (if applicable).
Step 7: The applicant should submit the Preliminary Application online and note the Application ID generated for future reference.
Step 8: The applicant should track the status of the application through the portal using the Application ID.
Step 9: After receiving in-principle approval, the applicant should complete prerequisites such as land acquisition, financial closure, and preparation of the Detailed Project Report (DPR).
Step 10: The applicant should submit the Final Application online within 6 months of receiving in-principle approval.
Step 11: The application is reviewed by the Steering Committee for Clusters (SCC), and upon approval, the applicant is informed through the portal.
Step 12: After final approval, the funds are released in phases through an escrow mechanism, subject to compliance with the scheme guidelines.

Offline

Step 1: The applicant should start by preparing the feasibility study and collecting all required project details.
Step 2: The applicant should obtain the prescribed Preliminary Application Form of the Electronics Manufacturing Clusters (EMC) Scheme.
Step 3: The applicant should fill in the application form with details such as applicant information, SPV details, project proposal, and financial estimates.
Step 4: The applicant should attach all required documents, including the feasibility study report, registration documents, and financial details.
Step 5: The applicant should prepare the application fee in the form of a Demand Draft, as prescribed.
Step 6: The applicant should submit the complete Preliminary Application along with documents and the fee to the Nodal Officer (EMC), Ministry of Electronics and Information Technology, at Electronics Niketan, New Delhi.
Step 7: The applicant should receive an acknowledgement or Application ID for future reference.
Step 8: The application is evaluated by the Steering Committee for Clusters (SCC), and in-principle approval is granted if found suitable.
Step 9: After approval, the applicant should complete prerequisites such as land acquisition, formation of SPV, and financial closure.
Step 10: The applicant should prepare and submit the Detailed Project Report (DPR) along with the Final Application within 6 months of in-principle approval.
Step 11: The final application is reviewed by the competent authority, and approval is granted based on compliance with scheme guidelines.
Step 12: After final approval, the financial assistance is released in phases through an escrow mechanism, subject to fulfilment of conditions.

Documents Required

No document list is available for this scheme yet.

References

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