The Ministry of Communications on Monday approved 42 companies including 28 MSMEs under the production linked incentive (PLI) scheme for telecom and networking products.
Of the selected firms, 17 companies have applied for additional incentive of 1 per cent under design-led manufacturing criteria. These firms have committed investment of Rs 4,115 crore, said the statement from the Ministry of Communication.
Additional sales of Rs 2.45 lakh crore is expected to be generated while additional employment of more than 44,000 is likely to be created over the same period, said the statement.
“The existing companies under the PLI scheme for telecom and networking products were allowed to add more products and apply under the design-led PLI scheme. They were also given the benefit of shifting their 5-year PLI scheme period by one year. 22 companies availed this opportunity of shifting their first year, which includes 13 companies who applied as fresh applicants,” the statement said.
India is poised to emerge as a design and manufacturing hub for telecom and networking equipment, the government said.
To create a robust domestic value chain, the Union budget of 2022-23 announced a design-led PLI Scheme for telecom and networking products. It provided additional incentive of 1 per cent over and above the existing incentives for products that are designed and manufactured in India. Design-led PLI scheme was launched in June 2022 and applications were invited from design-led manufacturers as well as others, for availing incentive under the PLI Scheme for five years commencing from April 1, 2022, the statement added.
Published 31 October 2022, 17:28 IST