Value addition could hit 70% with memory chips made in India: Vaishnaw

Some players in the world do not want India to become a big manufacturer of these products, so they are engineering a problem, the Communications minister says

Communications Minister ASHWINI VAISHNAW had a brief telephonic interview with Surajeet Das Gupta following his meeting with the 32 applicants who have submitted their applications for the production-linked incentive (PLI) 2.0 information technology hardware scheme. Excerpts:

Is the allocation of Rs 17,000 crore sufficient for the 32 players, which is more than what you have accounted for?
 

We will accommodate all 32 players under the PLI 2.0 scheme, and we are confident of having some savings which we can use. They are all ready to proceed.

What kind of value addition are you expecting from them?
 

I had discussions with all of them on Wednesday, and they are prepared to achieve a 35-40 per cent value addition very soon. Once memory chips start being manufactured in India, this could increase to as high as 70 per cent.

Have they raised concerns about the import licensing of laptops, etc?
 

They are not concerned at all. They want to establish a substantial part of the supply chain in India and aim to move quickly.

Why has the licensing of imports of laptops and personal computers become such a contentious issue?
 

Some global players who do not want India to become a major manufacturer of these products are engineering these problems.

Will Chinese companies be allowed to participate in the PLI?
 

Yes, as long as they partner an Indian electronics manufacturing services player, there is no issue.