“Electronics Hub: Tamil Nadu’s New Scheme to Drive Growth, Create Thousands of Jobs”
Tamil Nadu launches Electronics Components Mfg scheme; targets $3.52bn investment
Chief Minister MK Stalin of the Southern Indian state of Tamil Nadu, launched the ‘Tamil Nadu Electronics Components Manufacturing Scheme’ a special initiative dedicated to supporting the production of electronics components in the state.
According to the Tamil Nadu Government, this scheme looks to attract firms by offering incentives that match the subsidies announced under the Indian Government’s Electronics Component Manufacturing Scheme. Through this initiative,
Tamil Nadu is expected to attract investments worth $3.52bn or Rs. 30,000cr and generate employment opportunities for 60,000 individuals.
The Electronics Components Manufacturing Scheme follows the Tamil Nadu Semiconductor and Advanced Electronics Policy 2024, which has paved the way for the state to emerge as a frontrunner in the production of electronic goods.
Tamil Nadu is the second-largest economy in India and a leading state in manufacturing and exports. In the economic report for the year 2024-25, Tamil Nadu has topped India with a growth rate of 9.69 %. This is the highest growth achieved by Tamil Nadu in the last decade.
The Tamil Nadu Government is taking various initiatives to grow the state economy to $1 trillion by 2030, and to attract the necessary investments.
In the year 2024-25, Tamil Nadu hit a historic high of $14.65 billion in electronics exports, this amounts to 41.23% of India’s electronics exports. In the year 2023-24, Tamil Nadu’s electronics exports stood at $9.56 billion and has risen 53% to reach the present $14.65 billion.
With $7.85 billion in electronics exports, Karnataka stands second in the list of India’s top electronics exporting states, while Uttar Pradesh stands third with $5.26bn.
“TN CM Stalin Launches Scheme to Boost Electronics Manufacturing, Targets 60,000 Jobs”
Recently, the Tamil Nadu government announced that it will be setting up a dedicated manufacturing space to cater for Taiwanese firms. Dubbed the Taiwanese Industrial Park, the facility is to be situated near the capital city of Chennai. “Taiwanese investments constitute a significant share of the FDI into the State, particularly in sectors like electronics and footwear. The Taiwanese Industrial Park will target to attract investments of Rs.10,000cr($1.17bn) from Taiwanese firms in sectors such as electronic components, technical textiles, footwear components, creating employment potential for 20,000jobs,” said the Industries, Investment Promotion and Commerce Dept of the Tamil Nadu Government.
Of more than 250 Taiwanese firms invested in India, more than 60 percent are based in the Southern part of the country, and most of these firms are based in Tamil Nadu, according to the data from the Taiwanese Government. Among these firms are leading contract manufacturers of mobile phones and electronic gadgets, among others.
