Contract maker Zetwerk set to pump Rs 500–800 crore for component making

Zetwerk is looking to pump in Rs 500–800 crore as the Bengaluru-based unicorn embarks on manufacturing printed circuit boards (PCBs), enclosures and electromechanical components such as heat sinks and sensors, said its co-founder Rahul Sharma

“We are very excited about the component PLI (production-linked incentive) and have seen a lot of traction,” he told ET.

While the application for the government’s PLI scheme is being prepared, Zetwerk has forged technology tie-ups with companies in Taiwan and is eyeing setting up manufacturing plants over the next one year.


“We are in talks with a Taiwanese company for PCBs and have gotten into a definitive agreement with them," Sharma said. "We are also speaking to a South Korean company. And for products like enclosures, we are partnering with an Indian company since that capability already exists here. Within enclosures, we are looking at enclosures for laptops and non-Apple mobile brands and products."

Zetwerk is also evaluating potential collaborations with Chinese companies, particularly in specialised areas like PCBs, he said.

“Recent policy developments have signalled a pragmatic approach toward allowing minority partnerships with Chinese firms, recognising the value they can bring in bridging critical technology gaps and supporting India’s self-reliance goals. Once we receive the necessary government approvals, we will move forward with these partnerships,” he said.

Once the necessary approvals are obtained, Zetwerk would set up the manufacturing units, Sharma said.

“We are already present in Uttar Pradesh, Haryana, Tamil Nadu and Karnataka with plants in the electronics sector. Now, with the component PLI, we would be setting up new plants and are in close talks with a few of the state governments,” he said.

While Sharma did not name the states that Zetwerk was engaging with, he said none of them had reached a definitive agreement yet. He also said that segments like electromechanical components, unlike PCBs, can be housed within the existing units.

“PCBs cannot be stationed at the same place where our existing EMS (electronic manufacturing services) factories are stationed,” he said. “It will definitely be in a different place because it has different requirements for polishing control, power and other factors. Same goes for enclosures where we don’t have to have these facilities situated in our existing clusters."

Sharma further said, “We have also hired one of the big four firms to help us prepare an application which is suitable for the government to evaluate.”