Synopsis
The PLI scheme for telecom products has attracted an investment of Rs 4,081 crore, resulting in sales of Rs 78,672 crore. This initiative supports 'Make in India' and has created over 26,000 jobs while promoting domestic manufacturing.Key Takeaways
- Investment of Rs 4,081 crore in PLI scheme.
- Total sales generated amount to Rs 78,672 crore.
- Employment generated for 26,351 people.
- PLI scheme launched on February 24, 2021.
- Encouragement for design-led manufacturing.
New Delhi, March 22 (NationPress) In a significant advancement for the ‘Make in India’ campaign, the production-linked incentive (PLI) scheme dedicated to telecom and networking products has attracted an investment of Rs 4,081 crore (as of January 31), resulting in total sales amounting to Rs 78,672 crore.
This figure includes export sales reaching Rs 14,963 crore. Furthermore, the initiative has created employment opportunities for 26,351 individuals, as stated by Dr Pemmasani Chandra Sekhar, Minister of State for Communications and Rural Development, in a written response in the Rajya Sabha.
The Department of Telecommunications (DoT) launched the PLI scheme on February 24, 2021, aiming to enhance domestic production of telecom and networking products within India, with an initial allocation of Rs 12,195 crore.
Subsequent updates to the scheme guidelines introduced an extra 1 percent incentive for products that are designed, developed, and manufactured in India, encouraging a focus on design-led manufacturing. Additionally, 11 new products were added to the approved list in response to industry demands.
The scheme also provides companies with the flexibility to incorporate one or more products from the approved list at any point during the scheme's duration, along with the option to submit incentive claims quarterly.
The PLI scheme encompasses 33 telecom and networking products, allowing companies to claim various incentives.
With an outlay of Rs 1.97 lakh crore, the PLI schemes for 14 crucial sectors are propelling manufacturing growth, with telecom equipment manufacturing exceeding Rs 50,000 crore in sales under the PLI initiative, as per the latest governmental statistics.
India’s electronics manufacturing industry has thrived under the PLI scheme, transitioning from being a net importer to a net exporter of mobile phones.
Domestic production surged from 5.8 crore units in 2014-15 to 33 crore units in 2023-24, with imports witnessing a substantial decline. Exports hit 5 crore units, while Foreign Direct Investment soared by 254 percent, underscoring the scheme’s pivotal role in bolstering manufacturing and investment.
