PLI Scheme for White Goods – – Air Conditioners and LED lights sector

PLI Scheme for White Goods – – Air Conditioners and LED lights sector

Part of: GS Prelims and GS – III – Economy

• 26 Companies to invest Rs 3898 crore for Air Conditioner Components, 16 Companies to invest Rs 716 crore for LED Component Manufacturing
• Investments of around Rs. 4,614 crore envisaged creating additional direct employment of about 44 thousand persons
• Expected net incremental production of more than Rs. 81 thousand crore

Significance

• The investments in Air Conditioners will lead to manufacturing components across the complete value chain including components which are not manufactured in India with sufficient quantity. 
• At present, there is insignificant manufacturing of certain high value components of ACs like Compressors, copper tubing and aluminium stock for foils. 
• Many other components like control assemblies for indoor units (IDU) or outdoor units (ODU), display units, brushless direct current motors, valves etc. are not manufactured in enough quantity. All these components will now be manufactured in India in significant quantities. 
• Similarly, LED Chip packaging, LED Drivers, LED Engines, LED Light Management Systems, PCBs including metal clad PCBs and Wire wound inductors etc. will be manufactured in India in high quantities. 

White goods

• A major appliance, also known as a large domestic appliance or large electric appliance is a non-portable or semi-portable machine used for routine housekeeping tasks such as cooking, washing laundry, or food preservation.
• Such appliances are sometimes collectively known as white goods, as the products were traditionally white in colour, although a variety of colours are now available.

News Source: PIB