Union Minister for Communications, Electronics, and IT, Ashwini Vaishnaw, has announced a significant milestone in India’s IT hardware sector. The Production Linked Incentive Scheme (PLI) has granted approval to 27 companies, marking a pivotal moment in the country’s technological advancement.
Swift Approvals Under PLI Scheme
Vaishnaw revealed during a press conference the rapid progress of the PLI scheme for IT hardware. Within a short timeframe since its approval by Prime Minister Narendra Modi, 27 companies have been greenlit to participate. Almost all of these companies, totaling 23, are poised to kickstart manufacturing operations immediately.
Investment and Employment Prospects
The approved applications are expected to catalyze an additional investment of Rs 3,000 crores, contributing to an overall production value of Rs 3.5 lakh crores. This surge in investment is projected to create direct employment opportunities for approximately 50,000 individuals, with an additional 1.5 lakh jobs indirectly generated. In total, this initiative aims to provide a substantial boost of 2 lakh jobs, signaling a significant shift in India’s economic landscape.
Industry Giants Embrace PLI
Among the 27 companies approved for the PLI scheme are industry giants such as Dell, Foxconn, HP, Flextronics, Padget, Lenovo, New Link, Zenus, Mega, and Optimus. Their participation underscores the growing confidence in India’s potential as a manufacturing hub and marks a pivotal moment in the country’s journey towards self-reliance.
PLI Scheme: A Catalyst for Growth
Introduced by Prime Minister Narendra Modi and notified on May 29, 2023, the PLI Scheme for IT Hardware has a budgetary outlay of Rs 17,000 crores. It aims to bolster the IT hardware manufacturing ecosystem within the country by encouraging localization and fostering the development of a robust supply chain. The scheme is envisioned to stimulate local manufacturing, reduce dependency on imports, and enhance India’s global competitiveness.
Continuation of Success
This achievement follows the outstanding response to the PLI scheme for laptops and PCs, where 32 applications were received, including major players like HP India, Dell, Acer, Lenovo, and Thomson. The scheme is projected to yield incremental production worth Rs 3,35,000 crores, an incremental investment of Rs 2,430 crores, and a direct employment boost of 75,000 individuals.
Towards Self-Reliance and Global Competitiveness
The PLI schemes are integral components of India’s Atmanirbhar (self-reliant) and ‘Make-in-India’ initiatives. They are designed to attract investments, boost exports, integrate India into the global supply chain, and reduce dependency on imports across various sectors. These initiatives not only foster economic growth but also position India as a formidable player on the global stage.
In conclusion, the approval of 27 companies under the PLI scheme for IT hardware marks a significant milestone in India’s journey towards technological self-sufficiency. With robust investments, job creation, and the participation of industry leaders, India is poised to emerge as a powerhouse in the global IT hardware landscape.
