Vijayawada: The Central government sanctioned capital subsidy for Syrma SGS’s multi-layer printed circuit board (PCB) manufacturing facility in Andhra Pradesh under the Electronics Component Manufacturing Scheme (ECMS), paving the way for India’s largest integrated PCB and materials ecosystem.

The state government welcomed the Union ministry of electronics and information technology’s (MEIT) approval, calling it a major boost to the state’s emerging electronics manufacturing corridor. The sanction accelerates the commissioning of Syrma SGS’s advanced PCB facility at Naidupeta in Tirupati district, a nationally significant investment positioned to anchor India’s next-generation electronics components base.

“On behalf of the Government of Andhra Pradesh, heartfelt thanks to the Union government and MEIT for swiftly sanctioning capital support to Syrma under ECMS,” said Nara Lokesh, minister for IT and HRD. “This timely approval, combined with our State’s Electronics Components Manufacturing Policy, gives Syrma a world-class launchpad in Naidupeta to build India’s largest PCB and CCL ecosystem, deepen domestic value addition, and create high-quality jobs,” he said.

With the Central subsidy now approved, Syrma Strategic Electronics’ Rs 765 crore investment moves into the execution phase. The project aligns with the state’s incentive framework, cleared earlier by the cabinet, to promote domestic value addition across automotive, renewable energy, telecom, and defence supply chains. The Naidupeta facility will specialise in multi-layer and HDI, flex PCBs and integrate upstream materials such as copper-clad laminates (CCL), reducing import dependence and creating high-skilled employment.

In September, the state government approved a comprehensive Rs 856 crore incentive package for Syrma SGS’s PCB complex. The package includes 12.56 acre land at 75 per cent subsidised cost, along with operational and power-related enablers designed to fast-track project commissioning. Naidupeta’s proximity to Chennai’s electronics hub gives the facility strategic access to vendor and logistics networks, enhancing its competitiveness and export potential.

This state support falls under Andhra Pradesh’s Electronics Components Manufacturing Policy (4.0) 2025- 30, which offers early-bird capital subsidies, matching of central ECMS disbursements, electricity duty exemptions, and tax reimbursements. The policy aims to attract pioneering component manufacturers and strengthen India’s position in the global electronics supply chain.

Officials said the Centre–state alignment under ECMS and the state’s policy framework is expected to anchor at least Rs 2,000 crore in cumulative investments in the advanced electronics components segment over the next three years.