Electronic companies line up under PLI scheme, to produce products worth 11.5 lakh cr: RSP

Union Minister for Electronics & Information Technology Ravi Shankar Prasad on Saturday addressed a press conference stating that 22 domestic and international companies had filed their application under the government's Production-Linked Incentive (PLI) scheme which aims to transform India into an electronics and manufacturing hub.

"The International companies are Samsung, Foxconn Hon Hai, Rising Star, Wistron and Pegatron. Indian companies are Lava, Dixon, Micromax, Padget Electronics, Sojo and Optiemus Electronics have applied," said Ravi Shankar Prasad. He revealed that together these companies will produce mobile phones and components worth Rs 11.5 lakh crore over the next 5 years out of which products worth Rs 7 lakh crore will be exported.

"Under the leadership of PM Modi, PLI scheme was introduced to welcome global companies and to make Indian companies as national champions in the electronic sector. I welcome the Indian companies Lava, Dixon, Micromax, Padget Electronics, Sojo and Optiemus Electronics," he added.

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India to become a hub of electronics 

In tune with the PLI scheme, the Union Minister said that the sector's domestic value addition is expected to grow from the current 15-20% to 35-40% in case of mobile phones and 45-50% for electronic components. "This shows that India will soon become a hub of electronics manufacturing in the world," said Prasad. Ravi Shankar Prasad added that under the scheme's 'Component Manufacturing' provision, about 40 companies had proposed to manufacture components from across the globe including companies from Austria, Taiwan, USA, Germany and Israel.

"This scheme is not against any country, it is only India positive. I do not wish to take the name of any country. We have got proper rules & regulations with regard to our security, bordering countries, all those compliances are important," he said during the brief. 

Under the Government's Rs 42,000 cr PLI package, special incentives of 4-6 per cent are being offered to electronics companies which manufacture mobile phones and other electronic components to come and set up base in India, furthering the 'Make In India' initiative. This is one of the biggest incentive schemes from the government which will help boost domestic manufacturing of mobile phones and other such electronic components. 

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