diff --git a/terraform/aws/new-elasticache/main.tf b/terraform/aws/new-elasticache/main.tf
new file mode 100644
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+++ b/terraform/aws/new-elasticache/main.tf
@@ -0,0 +1,22 @@
+// Create a demo memcached cluster
+resource "aws_elasticache_cluster" "demo_elasticache_memcached_cluster" {
+  cluster_id           = var.demo_elasticache_memcached_cluster_name
+  engine               = "memcached"
+  // Using smallest node type. Refer AWS docs for all supported node types : https://docs.aws.amazon.com/AmazonElastiCache/latest/red-ug/CacheNodes.SupportedTypes.html
+  node_type            = "cache.t3.micro"
+  num_cache_nodes      = 2
+  parameter_group_name = "default.memcached1.4"
+  port                 = 11211
+}
+
+// Create a demo redis cluster
+resource "aws_elasticache_cluster" "demo_elasticache_redis_cluster" {
+  cluster_id           = var.demo_elasticache_redis_cluster_name
+  engine               = "redis"
+  // Using smallest node type. Refer AWS docs for all supported node types : https://docs.aws.amazon.com/AmazonElastiCache/latest/red-ug/CacheNodes.SupportedTypes.html
+  node_type            = "cache.t3.micro"
+  num_cache_nodes      = 1
+  parameter_group_name = "default.redis3.2"
+  engine_version       = "3.2.10"
+  port                 = 6379
+}
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diff --git a/terraform/aws/new-elasticache/output.tf b/terraform/aws/new-elasticache/output.tf
new file mode 100644
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+++ b/terraform/aws/new-elasticache/output.tf
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+output "demo_elasticache_memcached_cluster_name" {
+  value = "${aws_elasticache_cluster.demo_elasticache_memcached_cluster.cluster_id}"
+}
+
+output "demo_elasticache_redis_cluster_name" {
+  value = "${aws_elasticache_cluster.demo_elasticache_redis_cluster.cluster_id}"
+}
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diff --git a/terraform/aws/new-elasticache/variables.tf b/terraform/aws/new-elasticache/variables.tf
new file mode 100644
index 0000000..2a9f044
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+++ b/terraform/aws/new-elasticache/variables.tf
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+variable "demo_elasticache_memcached_cluster_name" {
+  type = "string"
+  default = ""
+  description = "AWS memcached elasticache cluster name"
+}
+
+variable "demo_elasticache_redis_cluster_name" {
+  type = "string"
+  default = ""
+  description = "AWS redis elasticache cluster name"
+}
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