Kolkata: Twenty-seven manufacturing companies have been authorised for the Production Linked Incentive (PLI) scheme 2.0 for IT hardware. It is expected to generate a total employment for two lakh people, minister of Electronics and IT Ashwini Vaishnaw said on Saturday.
The scheme, which covers laptops, tablets, PCs, servers and ultra-small form factor devices, is expected to fuel incremental investments of about Rs 3,000 crore.
The nod to the applicants comes at a time when India is wooing IT hardware players with policy sweeteners and incentive schemes, making a determined push to position itself as a global powerhouse for hi-tech manufacturing.
“These 27 applications will lead to investments of about Rs 3,000 crore...The most important thing is that the value chain is shifting to India,” the minister said. The approvals will position India as a big force in manufacturing of IT hardware, encompassing PCs, servers, laptops, and tablets, Vaishnaw said.
Among the big names that have been granted approval under the IT hardware scheme are Dell, Foxconn, HP, Flextronics, VVDN, and Optiemus. Other applicants that have received the green signal include Padget Electronics, SOJO Manufacturing Services, Goodworth, Neolync, Syrma SGS, Mega Networks, Panache Digilife, and ITI Ltd,
among others.
To a question on the absence of certain large names from the list, the minister said that some are evaluating and making their plans and “it is just the question of time”. He, however, did not take specific names.
The scheme will lead to additional production of Rs 3.5 lakh crore and create direct employment for 50,000 people and indirect employment for 1.5 lakh people, the minister said.
Vaishnaw informed that “23 out of 27 approved applicants are ready to start manufacturing on day zero.” He also added that the other four companies will start within 90 days.
A news agency had earlier reported that 32 applications were received under the scheme. Building on the success of the Production Linked Incentive scheme (PLI) for mobile phones, the Union Cabinet led by Prime Minister Narendra Modi had approved PLI Scheme – 2.0 for IT hardware on May 17 this year.
With complex work now beginning to happen in India, there is an increasing level of value addition from here, Vaishnaw said.