Global electronics manufacturing ecosystem is coming to India, noted the Cabinet
The Cabinet has approved the Production Linked Incentive Scheme 2.0 for IT Hardware with a budgetary outlay Rs.17,000 crore.
India is emerging as a trusted supply chain partner for all global majors as large IT hardware companies have shown keen interest in establishing manufacturing facilities in the country, the Cabinet said on 17 May 2023.
This is further supported by strong IT services industry having good demand within the country, noted the Cabinet.
Most majors would like to supply domestic markets within India from a facility situated in India as well as make India an export hub.
Electronics manufacturing in India has witnessed consistent growth with 17% CAGR in last 8 years. This year it crossed a major benchmark in production – US$105 billion (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 US$11 billion 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. fiinews.com
