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Nineteen companies file their applications under PLI scheme for IT Hardware

Incentives are applicable under the scheme from 01.04.2021.

Nineteen companies file their applications under PLI scheme for IT Hardware

(Image: YouTube: Drishti IAS: English)

A total of 19 companies have filed their application under the Production Linked Incentive Scheme (PLI) for IT Hardware which was notified on 03.03.2021. The scheme was open for filing applications till 30.04.2021. Incentives are applicable under the scheme from 01.04.2021.

The electronics hardware manufacturing companies that have applied under the category IT Hardware Companies are Dell, ICT (Wistron), Flextronics, Rising Stars Hi-Tech (Foxconn) and Lava.

14 companies have filed applications under the category Domestic Companies which include Dixon, Infopower (JV of Sahasra and MiTAC), Bhagwati (Micromax), Syrma, Orbic, Neolync, Optiemus, Netweb, VVDN, Smile Electronics, Panache Digilife, HLBS, RDP Workstations and Coconics. These companies are expected to expand their manufacturing operations in a significant manner and grow into national champion companies in IT Hardware production.

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Production Linked Incentive Scheme (PLI) for IT Hardware was notified on 03.03.2021. The PLI Scheme extends an incentive of 4% to 2%/ 1% on net incremental sales (over the base year of FY 2019-20) of goods under target segments that are manufactured in India to eligible companies, for a period of four years (FY 2021-22 to FY 2024-25).

In his address marking the conclusion of the application window under the scheme, Ravi Shankar Prasad, Union Minister for Electronics & IT, Communications, Law and Justice said that PLI scheme for IT Hardware has been a huge success in terms of the applications received from Global as well as Domestic companies engaged in manufacturing electronics hardware products.

Industry has reposed its faith in India’s stellar progress as a world class manufacturing destination and this resonates strongly with Prime Minister’s clarion call of AtmaNirbhar Bharat – a self-reliant India. The Minister further said that “we are optimistic and looking forward to building a strong ecosystem across the value chain and integrating with the global value chains, thereby strengthening electronics manufacturing ecosystem in the country”.

Under the leadership of Prime Minister Narendra Modi and his visionary initiatives like the “Digital India” and “Make in India” programmes, India has witnessed an unprecedented growth in electronics manufacturing in the last five years. The National Policy on Electronics 2019 envisions positioning India as a global hub for Electronics System Design and Manufacturing (ESDM) by focusing on size and scale, promoting exports and enhancing domestic value addition by creating an enabling environment for the industry to compete globally.

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