India Announces Rs.50,000 Crore Plan to Boost Electronics Manufacturing
Jun. 3, 2020India’s Union Minister for Electronics & Information Technology Ravi Shankar Prasad has announced three new electronics manufacturing guidelines. These guidelines are aimed at boosting local manufacturing and attracting foreign investments. The government says thesethree schemes will account for Rs. 50,000 crores or approximately $7 billion.
The schemes in question are:
As part of the PLI scheme, the government will provide an incentive of 4 percent to 6 percent on incremental sales of goods manufactured in India for a period of five years subsequent to the base year.
Through SPECS, India aims to provide up to 25 percent incentive on capital expenditure for electronic components, semiconductor/display fabrication units. In addition, the scheme facilitates the production of Ready Built Factory (RBF) sheds and Plug & Play facilities for ensuring seamless deployment.
Initially, thegovernment will choose five global and five Indian smartphone brandsfor this initiative. While the names will be announced in the next couple of months,we could expect Appleto be one of them.
Speaking of the initiative, Niti Aayog CEO Amitabh Kant said,“The schemes will help India become totally self-reliant and penetrate global markets. It will bring global value chain and enable India to become a leader in electronics manufacturing.”
Subin writes about consumer tech, software, and security. He secretly misses the headphone jack while pretending he’s better off with the wireless freedom.
