The union government on Tuesday said that it has notified the Production-Linked Incentive (PLI) scheme 2.0 for IT hardware, worth ₹17,000 crore and the window of applications under the scheme will open from June 1 (Thursday).
Through a Gazette notification dated May 29, the Ministry of Electronics and IT (MeitY) said the scheme is expected to lead to total production of about ₹3.35-lakh crore, to bring an additional investment of ₹2,430 crore in electronics manufacturing and will lead to generation of 75,000 additional direct jobs.
The Cabinet, chaired by Prime Minister Narendra Modi, had given approval to introduce the PLI Scheme 2.0 for IT Hardware, on May 17, for enhancing India’s manufacturing capabilities and enhancing exports.
Expected results
“The PLI Scheme 2.0 for IT Hardware is expected to result in broadening and deepening of the manufacturing ecosystem by encouraging the localisation of components and sub-assemblies and allowing for a longer duration to develop the supply chain within the country,” MeitY said.
Additionally, the scheme provides increased flexibility and options for applicants, and is tied to incremental sales and investment thresholds to further incentivise growth, it said.
“Furthermore, semiconductor design, IC manufacturing, and packaging are also included as incentivised components of the PLI Scheme 2.0 for IT Hardware,” it added.
The scheme will promote large scale manufacturing in laptops, tablets, all-in-one personal computers (PCs), servers and ultra small form factor (USFF) devices and contribute significantly to achieve electronics manufacturing turnover of around $300 billion by 2025-26.
Approved applicants of existing PLI will also be allowed to apply under PLI 2.0, the notification said adding that the scheme has three category of applicants-global companies, hybrid (global/ domestic) companies and domestic companies.
SHARE
Published on May 30, 2023
