PLI Scheme: Promoting Telecom and Networking Products Manufacturing in India
Part of: GS Prelims and Mains GS-II: Governance
In News: India is set to receive an investment of about ₹3,300 crore from 31 domestic and multinational companies over a period of four years under the ambitious production-linked incentive or PLI scheme that is expected to employ as many as 40,000 individuals in the telecom sector.
- To boost domestic manufacturing in the telecom and networking products by incentivising incremental investments
- Will help in reducing India’s dependence on other countries for import of telecom and networking products with incentives and support to promote world class manufacturing in the country
- Would boost research and development (R&D) activities locally with companies committed to spend 15% of their revenues for the development of new products.
- The support under the Scheme shall be provided for a period of five (5) years, i.e. from FY 2021-22 to FY 2025-26.
- 31 companies comprising 16 MSMEs and 15 Non-MSMEs (8 Domestic and 7 Global companies), gets approval under the Scheme
- Expected Incremental production of around ₹1.82 Lakh Crore
The scheme for the telecom sector includes
- Manufacturing of transmission equipment,
- Next generation (4G and 5G) radio access network and wireless equipment,
- Customer premise equipment (CPE), access devices, routers and switches
News Source: PIB