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PLI Booster: Cabinet approves Electronics Component Manufacturing Scheme worth Rs 22,919 crore

by Aaryan Srivastav
March 28, 2025
पीएलआई बूस्टर:  कैबिनेट ने 22,919 करोड़ रुपये की इलेक्ट्रॉनिक्स कंपोनेंट मैन्युफैक्चरिंग स्कीम को दी मंजूरी

New Delhi, March 28 (IANS). The Cabinet meeting chaired by Prime Minister Narendra Modi to make the country ‘self -reliant’ in the electronics supply chain has approved the Electronics Component Manufacturing Scheme with a funding of Rs 22,919 crore.

Under this scheme, it is planned to attract an investment of Rs 59,350 crore, produce Rs 4,56,500 crore and create direct employment and many indirect jobs for 91,600 people, so that the country can move forward in electronic manufacturing rapidly.

The scheme aims to attract large investment in electronics component manufacturing ecosystem, develop domestic price enriches (DAVs) and Indian companies to develop a strong component ecosystem by integrating with global value chains (GVC).

According to the cabinet, the duration of the scheme is six years and a portion of a part of the incentive is associated with employment target.

In this scheme, the government will provide different types of incentives to Indian manufacturers for components of different categories and sub-governments, so that they can achieve technological capabilities and scale.

The domestic production of electronic goods has increased from CAGR of Rs 1.90 lakh crore in FY 2014-15 to Rs 9.52 lakh crore in FY 2023-24.

Export of electronical goods has increased from CAGR of Rs. 0.38 lakh crore in FY 2014-15 to Rs 2.41 lakh crore in FY 2023-24.

The India Electronics and Semiconductor Association (IESA) on Friday welcomed the government’s approval to the Production-Link Incentive (PLI) scheme for electronic components and sub-government manufacturing. The scheme was being demanded by the industry for a long time.

According to the IESA report, manufacturing and exports of India’s electronics market may increase to $ 400 billion by 2030. This will strengthen the country’s position as electronics exporter in the world.

-IANS

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