 "PLI, production")
The Ministry of Electronics and Information Technology has extended the date for accepting applications under the production-linked incentive (PLI) scheme 2.0 for IT hardware. The new deadline to apply for the scheme is August 30, 2023.
The PLI scheme for IT hardware was notified via a government notification on May 29, 2023, with a total budget outlay of Rs 17,000 crore. The scheme is aimed at expanding the local large-scale manufacturing of IT hardware in the country.
The scheme shall extend an average incentive of around 5 per cent on net incremental sales (over the base year) of goods manufactured in India and covered under the target segment, to eligible companies, for a period of six years. The target segment under PLI shall include (i) Laptops (ii) Tablets (iii) All-in-One PCs (iv) Servers and Ultra Small Form Factor (USFF).
The PLI Scheme 2.0 for IT Hardware is expected to result in the broadening and deepening of the manufacturing ecosystem by encouraging the localisation of components and sub-assemblies and allowing for a longer duration to develop the supply chain within the country.
Additionally, the scheme provides increased flexibility and options for applicants and is tied to incremental sales and investment thresholds to further incentivise growth. Furthermore, semiconductor design, IC manufacturing, and packaging are also included as incentivised components of the PLI Scheme 2.0 for IT Hardware.
The Union Cabinet chaired by Prime Minister Narendra Modi gave its approval to introduce the PLI scheme 2.0.
