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Market News
Govt to review progress of PLI scheme on Jan 12.
Jan 05, 2024
The government will review the progress of the Production-Linked Incentive Scheme (PLI) for all 14 sectors on January 12, an official said on Thursday. The meeting assumes significance as the government has disbursed Rs 2,900 crore till March 2023 under the scheme.
The empowered committee in PLI has also approved Rs 1,000 crore disbursement to beneficiary firms of the electronics sector.
The scheme was announced in 2021 for 14 sectors such as telecommunication, white goods, textiles, manufacturing of medical devices, automobiles, speciality steel, food products, high efficiency solar PV modules, advanced chemistry cell battery, drones, and pharma with an outlay of Rs 1.97 lakh crore.
'On January 12, there is a PLI review meeting,' the official said, adding, 'some PLI sectors are doing very well, others are in gestation period, and there are some which are lagging a bit, we expect to see a take-off very soon'.
The purpose of the schemes is to attract investments in key sectors and cutting-edge technology; ensure efficiency and bring economies of size and scale in the manufacturing sector and make Indian companies and manufacturers globally competitive.
The schemes have attracted over Rs 95,000 crore in investment till September 2023.
According to the Commerce and Industry Ministry, 746 applications have been approved till November 2023 under these schemes.
As per the ministry, of the USD 101 billion of total electronics production in 2022-23, smartphones constituted USD 44 billion.
About PLI in white goods (AC and LED light components), the ministry has said that 64 companies have been selected under the scheme.
Of this, 34 would invest Rs 5,429 crore for air-conditioner components and 30 would invest Rs 1,337 crore for LED component manufacturing.
'Further investments of Rs 6,766 crore are envisaged creating additional direct employment of about 48,000 persons,' the ministry has said, adding that 13 foreign companies are investing Rs 2,090 crore under the scheme.
economictimes.indiatimes.com
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