Page 23 - Pli Scheme

Do not extend PLI for small firm-dominated products: GTRI to Govt

The government should not extend fiscal support under the production linked incentive scheme (PLI) to small firm-dominated products like leather shoes and handicraft as the move may shift business away from those enterprises, think tank GTRI said in a report on Monday. Global Trade Research Initiative (GTRI) said small firms need assistance like access to technology and low-cost finance and not PLI. It also said PLI for industries like food processing or auto, where many domestic manufacturers make similar products, introduces competitive distortion by giving money to a few firms. "PLI money at the rate 4-6 per cent of incremental sales could increase profit margins by 30-40 per cent, giving a considerable price advantage over others," GTRI Co-Founder Ajay Srivastava said. He said non-PLI recipients suffer for no fault and the scheme should avoid incentivizing such sectors. It should focus only on cutting-edge product groups where India has no manufacturing capabilities, he added.

Measuring success

Increasing PLI allocation will not be enough

Cabinet okays revised IT hardware PLI scheme with Rs 17,000-cr outlay

New scheme may offer sops of up to 9% on incremental sales of laptops, tablets, all-in-one PCs, servers and edge computing devices made in India; tenure extended to six years from four

New PLI scheme to attract global cos to India from China: Ashwini Vaishnaw

In a Q&A, the minister of communications says the new scheme for IT hardware also invites Chinese players to set up shop under the scheme if they adhere to its norms

Cabinet approves PLI Scheme 2.0 for IT Hardware with Rs 17,000 cr budget

The Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved the Production Linked Incentive Scheme 2.0 for IT Hardware with a budgetary outlay of Rs 17,000 crore. Electronics manufacturing in India has witnessed consistent growth with a 17 per cent compound annual growth rate (CAGR) in the last 8 years to cross a major benchmark in production -- USD 105 billion (about Rs 9 lakh crore) -- this year. "For IT PLI, the budgetary outlay is Rs 17,000 crore. The tenure of the programme is 6 years," Union Minister for IT and Telecom Ashwini Vaishnaw told reporters after the cabinet meeting. PLI Scheme 2.0 for IT hardware covers laptops, tablets, all-in-one PCs, servers and ultra-small form factor devices. The minister said the scheme is expected to lead to incremental production of Rs 3.35 lakh crore, incremental investment of Rs 2,430 crore and create incremental direct employment for 75,000 people during the scheme period. The government in February 2021 approved the PLI

Vedanta-Foxconn JV set to get govt approval for its chip-making plant

VFSL is a joint venture between India's Vedanta Group and Taiwan's Hon Hai Precision Industry (Foxconn). The two have 63 and 37 per cent stake in the company, respectively

Apple to not make iPads, Mac PCs but may manufacture AirPods in India

This comes amid reports that the Cupertino-based tech giant may soon start producing all its major products in India

No closing dates for PLI scheme, govt makes it easier to avail benefits

Apart from the semiconductor production-linked incentive scheme, the govt is also planning incentive schemes for computers and devices, telecom, automotive, and IT hardware

What critics of the govt miss: Not much is lost if the PLI scheme fails

Seeking a repeat of the East Asian model of merchandise export-led growth is a chimera. For India, services drive export growth, writes T N Ninan

Rs 611 cr allocated to incubators under startup seed fund scheme so far

The government has allocated Rs 611 crore to incubators and out of that, Rs 61 crore was released to startups under the seed fund scheme so far, an official said on Tuesday. In April 2021, the government launched the Startup India Seed Fund Scheme (SISFS) with a corpus of Rs 945 crore. The corpus is divided over the next four years (till 2025) for providing seed funding to eligible startups through eligible incubators across India. The fund aims to provide financial assistance to startups for proof of concept, prototype development, product trials, market entry, and commercialisation. The scheme has completed two years and it is helping in promoting innovation, joint secretary in the Department for Promotion of Industry and Internal Trade (DPIIT) Manmeet Nanda told reporters here. She said that so far 165 incubators have been selected under the scheme and Rs 611 crore has been approved for them. "Over 1,000 startups are benefitted from the scheme so far," she said, adding if requ

TMS Ep422: PLI scheme, Ease of Moving Index, markets, double jeopardy

Has the PLI scheme lived up to expectations? What does 'Ease of Moving Index' tell us about Indian cities? How to trade the markets ahead of US Fed? What is double jeopardy? All answers here

Centre extends EV battery safety certification deadline by 6 months

The certification was compulsory for manufacturers from April 1, 2023, if they wanted subsidies under various EV-promotion schemes

After a slow start, PLI scheme may switch on the afterburners in FY24

Rs 8,083 cr is expected to be disbursed this fiscal

Govt releases regulations under PLI scheme for automobile industry

The Union government on Thursday announced the standard operating procedure of the production linked incentive scheme for automobile sector, whereby applicants can submit applications for testing and certification of advanced automotive technology products, which will help them qualify for incentives. Minister of Heavy Industries Mahendra Nath Pandey said his ministry is trying to align itself with the Prime Minister's vision of Aatmanirbhar Bharat, and these SOPs (standard operating procedures) will not only help achieve that but will also help in increasing the manufacturing foothold. With this, the ministry aims to boost the domestic manufacturing sector and reduce dependence on imports, thereby creating more job opportunities for Indians. Pandey also added that it would contribute to the overall economic growth of the nation. The scheme is expected to attract significant investments and help India become a global hub for automobile manufacturing, an official statement said. The

Top headlines: PLI incentives to 8 sectors, tweak in SEZ rules, and more

Business Standard brings you top news at this hour

Electronics manufacturing gets a reality check; only $225 bn value by FY26

Owing to the lukewarm response, the PLI scheme for IT hardware is being rewor­ked

Cabinet approves National Medical Devices Policy 2023: Mansukh Mandaviya

Briefing the media after the Cabinet meeting, Union Health Minister Mansukh Mandaviya said the National Medical Devices Policy will promote domestic production of medical devices

Production incentive scheme draws $6.54 bn in investments till Dec 2022

While New Delhi pays local manufacturers when sales targets are met, the scheme helps draw investments and create new jobs

Govt pays PLI incentives worth Rs 2,874 crore towards 8 sectors in FY23

Empowered group of secretaries, Aayog review some sectors to bring them to 'acceptable levels'

Handset production down 20% YoY, companies sitting on 10 weeks of inventory

For the period between January and March 2023, the sales went down by 18 per cent compared to the same period last year