New Delhi, Mar 29 (KNN) The Indian electronic components manufacturing industry welcomed the Union Cabinet’s approval of a Rs 22,919 crore production-linked incentive (PLI) scheme, which is expected to attract Rs 59,350 crore in investments and create 91,600 direct jobs.
The scheme aims to strengthen India’s electronics supply chain by promoting the local production of key components such as batteries, displays, camera modules, and printed circuit boards (PCBs), reducing reliance on imports.
HCL founder and EPIC Foundation chairman Ajai Chowdhry called it a “much-awaited” move. “This will enable greater value addition, just-in-time manufacturing, and encourage startups to design and manufacture products locally,” he said.
According to the Press Information Bureau (PIB), domestic electronics production has surged from Rs 1.90 trillion in FY15 to Rs 9.52 trillion in FY24, growing at over 17% CAGR.
Exports have also jumped from Rs 38,000 crore in FY15 to Rs 2.41 trillion in FY24, growing at more than 20% CAGR.
Pankaj Mohindroo, chairman of the India Cellular and Electronics Association (ICEA), emphasised that the scheme would further integrate India into global value chains.
“As we push towards a $500 billion electronics mission, this initiative will establish large-scale manufacturing and create employment,” he noted.
However, industry leaders had hoped for an allocation closer to Rs 40,000 crore. Avneet Singh Marwah, CEO of Super Plastronics, stressed that only committed players should benefit, citing past instances where PLI incentives remained unused.
Ashok Chandak, president of IESA, highlighted that India still imports crucial components like PCBs and display modules. “The Component PLI will accelerate ‘Make in India,’ reduce imports, and enhance global competitiveness,” he said.
Industry leaders, including Zetwerk and Dixon Technologies, are already exploring joint ventures to expand domestic manufacturing.
(KNN Bureau)
