All you wanted to know about Production Linked Incentive Scheme 2.0 for IT Hardware

Cabinet approves six-year programme with budgetary outlay of Rs. 17,000 crore

GN Bureau | May 17, 2023


#Business   #Economy   #technology   #hardware   #PLI   #cabinet  
(Illustration: Ashish Asthana)
(Illustration: Ashish Asthana)

The union cabinet on Wednesday approved the Production Linked Incentive (PLI) Scheme 2.0 for IT Hardware with a budgetary outlay Rs. 17,000 crore.

Context:
* Electronics manufacturing in India has witnessed consistent growth with 17% CAGR in last 8 years. This year it crossed a major benchmark in production – 105 billion USD (about Rs 9 lakh crore)

* India has become the world’s second largest manufacturer of mobile phones. Exports of mobile phones crossed a major milestone of 11 billion USD this year (about Rs 90 thousand crore)

* The global electronics manufacturing ecosystem is coming to India, and India is emerging as a major electronics manufacturing country

* Building on the success of Production Linked Incentive scheme (PLI) for mobile phones, the Union Cabinet today approved PLI Scheme 2.0 for IT hardware

Salient features:

* PLI Scheme 2.0 for IT hardware covers laptops, tablets, all-in-one PCs,   servers and ultra small form factor devices

* The budgetary outlay of the scheme is Rs. 17,000 crore
* The tenure of this scheme is 6 years
* Expected incremental production is Rs. 3.35 Lakh crore
* Expected incremental investment is Rs. 2,430 crore
* Expected incremental direct employment is 75,000

Significance:

 * India is emerging as a trusted supply chain partner for all global majors. Large  IT hardware  companies   have  shown keen interest in establishing manufacturing facilities in India. This is further supported by strong IT services industry having good demand within the country.

* Most majors would like to supply domestic markets within India from a facility situated in India as well as make India an export hub.

Comments

 

Other News

Report of India’s G20 Task Force on Digital Public Infrastructure released

The final ‘Report of India’s G20 Task Force on Digital Public Infrastructure’ by ‘India’s G20 Task Force on Digital Public Infrastructure for Economic Transformation, Financial Inclusion and Development’ was released in New Delhi on Monday. The Task Force was led by the

How the Great War of Mahabharata was actually a world war

Mahabharata: A World War By Gaurang Damani Sanganak Prakashan, 317 pages, Rs 300 Gaurang Damani, a Mumbai-based el

Budget expectations, from job creation to tax reforms…

With the return of the NDA to power in the recently concluded Lok Sabha elections, all eyes are now on finance minister Nirmala Sitharaman’s full budget for the FY 2024-25. The interim budget presented in February was a typical vote-on-accounts, allowing the outgoing government to manage expenses in

How to transform rural landscapes, design 5G intelligent villages

Futuristic technologies such as 5G are already here. While urban users are reaping their benefits, these technologies also have a potential to transform rural areas. How to unleash that potential is the question. That was the focus of a workshop – “Transforming Rural Landscape:

PM Modi visits Rosatom Pavilion at VDNKh in Moscow

Prime minister Narendra Modi, accompanied by president Vladimir Putin, visited the All Russian Exhibition Centre, VDNKh, in Moscow Tuesday. The two leaders toured the Rosatom Pavilion at VDNKh. The Rosatom pavilion, inaugurated in November 2023, is one of the largest exhibitions on the histo

Let us pledge to do what we can for environment: President

President Droupadi Murmu on Monday morning spent some time at the sea beach of the holy city of Puri, a day after participating in the annual Rath Yatra. Later she penned her thoughts about the experience of being in close commune with nature. In a message posted on X, she said:

Visionary Talk: Amitabh Gupta, Pune Police Commissioner with Kailashnath Adhikari, MD, Governance Now


Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter