Received proposals worth Rs 12 lakh cr under production-linked incentive scheme: Prasad
New Delhi: Union Minister Ravi Shankar Prasad on Tuesday said proposals worth Rs 12 lakh crore have been received under the new scheme to boost electronics manufacturing, and some manufacturing lines have moved from China to India during the COVID-19 pandemic.
The Minister for IT and Communications, while speaking at an industry event, also pointed out that close to Rs 90,000 crore have been transferred by way of direct benefit transfer.
"...All the top mobile manufacturers and their contract manufacturers have applied in that (PLI) scheme, including five global champions and five national champions and collectively, they have promised to make mobile phone and components worth Rs 12 lakh crore in the coming five years, out of which they're going to export Rs 7 lakh crore (worth of items) and give direct and indirect job to 12 lakh," Prasad said.
He added that about 8-9 manufacturing lines have also shifted from China to India.
The government notified three schemes on April 1 for the promotion of electronics. These were schemes for manufacturing of electronic components and semiconductors, modified electronics manufacturing clusters (EMC 2.0) scheme, and production-linked incentive (PLI) scheme for large scale electronics manufacturing.
These schemes jointly offer incentives of around Rs 50,000 crore over the period of next five years.
Under the PLI scheme, iPhone maker Apple's contract manufacturers (Foxconn and Wistron), firms like Samsung, Micromax, Lava and Dixon have applied.
Prasad said the government has leveraged technology in a number of areas like healthcare and education to provide support to citizens during the pandemic.
"...out of the Rs 1,70,000 crore that the Prime Minister announced for the whole COVID-19 package for the poor, close to Rs 90,000 crore have been transferred by way of direct benefit transfer to the accounts of people...Therefore, the larger DBT narrative, which we have sent around close to Rs 11 lakh crore in the last five and a half years...was further reinforced in the COVID-19 crisis," he said.
Prasad said the postal department had also bolstered the efforts.