Indian Economy News

India has given over US$ 1 billion to private firms under the PLI scheme: Official

  • IBEF
  • April 5, 2024

India has allocated US$ 1.02 billion in incentives to boost local manufacturing, complementing over US$ 13 billion in private investments under the US$ 24 billion (Rs. 1.97 trillion) production-linked incentive scheme (PLI) introduced in 2020. PLI initiative, covering 14 sectors from electronics to drones, has garnered participation from major global and Indian firms like Apple, Foxconn, and Samsung Electronics, aligning with Prime Minister, Mr. Narendra Modi's vision to position India as a prominent manufacturing destination.

Under the PLI scheme, mobile phone exports soared to a record US$ 15 billion in the fiscal year 2024, with total goods exports reaching US$ 36 billion - US$ 42 billion (Rs. 3 trillion to Rs. 3.5 trillion). A senior official at India's Department for Promotion of Industry and Internal Trade (DPIIT), Mr. Rajesh Kumar Singh, noted the positive impact of the scheme and emphasized accelerated production in sectors such as mobile phones and electronics. Despite challenges in the textile and specialty steel sectors, the government remains committed to refining the PLI scheme strategically to incentivize growth while maintaining a focused approach to industrial policy.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.