Investments in the telecom manufacturing sector to reach Rs. 4,000 crore (US$ 480.5 million) in the coming years: Minister Mr. Ashwini Vaishnaw
- IBEF
- October 12, 2023
Mr. Ashwini Vaishnaw, Minister for Communications, Electronics, and IT, stated that over the next few years, investments in the telecom manufacturing sector are anticipated to reach Rs. 4,000 crore (US$ 480.5 million) because India is becoming a reliable value chain partner.
The minister stated, "Within the next few years in telecom manufacturing alone, we will see close to Rs 4,000 crore (US$ 480.5 million) total investment which is double of what has already happened, 44,000 employment, and Rs. 2.37 trillion (US$ 28 billion) total sales revenue," during the inaugural of VVDN Technologies' production line to manufacture 4G and 5G connectivity modules and data cards.
According to reports, the government's production-linked incentive (PLI) scheme for the telecom sector, which benefits 42 companies, is expected to promote sales and investment.
With a sales turnover of Rs. 34,516 crore (US$ 4.14 billion), as of August 31, the companies had invested a total of Rs. 2,419 crore (US$ 290.6 million) with the government. Based on government data, the companies have employed nearly 17,753 people.
Mr. Ashwini Vaishnaw stated, "Very complex manufacturing has started, and young girls are getting trained in handling complex machines," in reference to the VVDN production line. This is how "Made in India" has succeeded.
One of the PLI scheme's beneficiaries is VVDN. US-based Hewlett Packard Enterprise and VVDN signed an initial pact in July of this year when the parties agreed to create high-end servers valued at US$ 1 billion over the course of the following 4-5 years.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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