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Govt takes PLIs back to the drawing board amid critical challenges

With this signature manufacturing scheme facing critical challenges, the government is reworking parts of the programme in consultation with companies

PLI, Product-linked scheme, electronics, manufactuing, jobs, companies, research, mobile, smartphone, employment, tech
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Telecom and network products and design: Rs 12,195 cr; scheme tweaked to add design

Surajeet Das Gupta New Delhi
It’s a massive gamble that could bring in Rs 30-35 trillion in incremental manufacturing revenues from 15 sectors in the next five years. Yet the absence of chest thumping was notable a few weeks ago when Niti Aayog announced its first-ever disbursement of Rs 53 crore to electronic manufacturing services (EMS) player Dixon Technologies under the production-linked incentive (PLI) scheme.

That is because the government is facing several critical challenges for this signature programme. Global players have raised concerns on the slow and complex disbursement process, causing some of them to question whether they want to go ahead with their