New Delhi, March 31 -- Expressing dissatisfaction with the pace at which the industry is building design capabilities, Minister for Electronics and Information Technology (MeitY) Ashwini Vaishnaw on Monday warned that the government could "weed out" projects approved under the Electronics Component Manufacturing Scheme (ECMS) if companies fail to step up. He added that the scheme could also be modified to enforce these requirements. ECMS is aimed at boosting local production of electronic components by offering incentives to set up manufacturing, reduce imports, and strengthen domestic supply chains. Vaishnaw said design capability is a critical requirement under the scheme and indicated that projects showing inadequate progress could face strict action, including denial of incentives and halting of further approvals. "If any of approved applicants have any doubts about developing in-house design capabiltities, then they can leave the programme. I am very blunt about it," he said. "In time, those who do not invest in design will be weeded out." The remarks came alongside the announcement of the fourth tranche of ECMS approvals, with the government clearing 29 applications involving an investment of Rs.7,104 crore. These projects are expected to generate production worth Rs.84,515 crore and create 14,246 jobs, according to official data. In his earlier interaction with industry during the previous tranche of ECMS approvals, Vaishnaw had outlined four key expectations from the industry: build in-house design capabilities, develop a Swadeshi supply chain, develop manufacturing standards for Six Sigma-quality, and workforce training. "Many of you had committed to submit a structured programme on these four things by March-end, but that hasn't happened," said the minister. "I also want all the 75 companies to, within 15 days, submit structured programmes for Six Sigma, otherwise we will have to prescribe something."The latest approvals span a wide range of components, including antennas, connectors, display modules, rare earth magnets, capital equipment, and flexible printed circuit boards (PCBs). Notably, the tranche includes India's first approvals for SMD passive components and rare earth permanent magnet manufacturing, marking a push into more complex segments of the electronics value chain.With this round, the total number of approved projects under the scheme has risen to 75. These span 23 product categories across 12 states, with cumulative approved investments reaching Rs 61,671 crore and projected production of Rs 4.51 lakh crore. The government said it is about two-thirds of the way towards its employment targets under the scheme. MeitY secretary S Krishnan said the scheme has been among the most successful initiatives in the sector so far, but called on companies to accelerate implementation. He emphasised the need to build resilient domestic supply chains amid evolving geopolitical conditions.Separately, Vaishnaw said global supply chain disruptions, including tensions in West Asia, have not yet had a significant impact on the electronics industry, though companies are monitoring commodity prices. However, Dixon Technologies co-founder Sunil Vachani, interacting with the media, said that due to the war situation, the prices of key commodities have risen and this will affect the price of finished goods, though companies expect prices to stabilise over time. Highlighting milestones, the minister said several projects are moving ahead, with 28 of the 75 approved projects already under construction. He also pointed to approvals for six capital equipment projects as a "first step" towards building domestic manufacturing capabilities in high-precision machinery....