India’s Display Module Ecosystem Gets a New Push Under Latest ECMS Approvals
India’s display manufacturing ecosystem is gradually moving from assembly toward deeper localization.
We have already seen ECMS (Electronics Component Manufacturing Scheme) approvals for display-related manufacturing by players such as Samsung Display, Wangda Technologies and Dixon Display Technologies. More recently, the government also provided a significant policy boost by allowing nil Basic Customs Duty (BCD) on key imported components such as display cells, FPCAs, BLUs, frames and ACF used for display assemblies in automotive, medical and industrial applications, effective until March 2029.
Now, the latest ECMS approvals announced on August 17 add another important layer to this ecosystem. In particular, two of the cleared proposals are in focus for the industry:
TXB Optics / Bhagwati Products
Bhagwati Products Limited has received ECMS approval for display module manufacturing, with an INR 4.5-billion investment through TXB Optics Private Limited.
The company plans to manufacture mobile phone displays starting with a capacity of 1.5 million displays per month, with plans to scale to 3-4-million displays per month over the long term and subsequently expand into automotive displays.
Importantly, Bhagwati is also investing INR 5.65 billion in precision moulding at its Greater Noida facility, taking the combined investment across the two ECMS projects to INR 10.15 billion. Both projects are expected to commence production this year.
Minda Instruments / Spark Minda
Minda Instruments Limited has received approval to manufacture display module sub-assemblies and plans to establish a greenfield TFT display module assembly facility, making it the second company alongside Bhagwati Products to receive this specific approval in the latest tranche.
The initiative is particularly relevant for the automotive ecosystem. It supports localization of display modules and backward integration within Spark Minda's automotive electronics business. This could help reduce import dependence while strengthening India's domestic automotive display supply chain.
Analyst takeaway
The combination of ECMS incentives, customs duty exemption and growing domestic electronics demand is creating the foundation for a broader Indian display supply chain. The interesting shift is that the opportunity is no longer limited to mobile displays. We are seeing activity across mobile, automotive, medical and industrial applications.
For the complete ECMS notification and list of approvals, see the Government of India / PIB announcement.
Category
Industry
Display
Service
Display Market Trends
Report Type
Report
Time Period
Weekly
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Author
Nikhil Kishor
With a decade of experience in the display technology sector, Nikhil currently leads the Display 360 platform in India at Counterpoint Research, where he supports display industry clients through a combination of sales leadership, strategic consulting, and market intelligence. His expertise lies in cost modeling for display panels, supply chain analysis, and providing actionable insights across the smartphone, IT, and TV segments. Previously, he worked at Kearney, where he led cost-reduction strategies for display clients, and at Applied Materials as a Technical Lead – New Product Manufacturing Engineer, focusing on display fabrication equipment and supplier optimization.