PLI To Help Create Complete Component Ecosystem In India, Says ICEA

The production-linked incentive (PLI) scheme announced by the government for air-conditioners and LED lights will help create a complete component ecosystem in India, mobile industry body ICEA said.

The scheme is expected to attract global investments, generate large scale employment opportunities and enhance exports substantially, it added.

This scheme is designed to create a complete component ecosystem in India and make India an integral part of the global supply chain, the body noted.

On Wednesday, the government announced the PLI scheme for white goods - Air Conditioners and LED Lights - with a budgetary outlay of Rs 6,238 crore.

The proposal was approved in a Union Cabinet meeting, chaired by Prime Minister Narendra Modi.

ICEA Chairman Pankaj Mohindroo said: "The scheme is expected to attract global investments, generate large scale employment opportunities and enhance exports substantially. It will also lead to investments in innovation, research & development and technology up-gradation".

This plan will accelerate the production of air conditioners and LED's in the country, making India an attractive destination as a global supplier of these products, he added.

"The PLI Scheme will lead to the incremental investment of Rs 7,920 crore, incremental Production worth Rs 1,68,000 crore, exports worth Rs 64,400 crore, earn direct and indirect revenues of Rs 49,300 crore and create additional four lakh direct and indirect employment opportunities," Mohindroo said.

The scheme will focus on component manufacturing to increase the exports of these two products from negligible levels now to 35 to 40 per cent.

"The scheme will help in creating a strong and robust ecosystem for manufacturing components for the lighting industry, which will enhance our competitiveness in the global markets in times to come.

"This is a huge opportunity for the country and industry to make India the global hub for manufacturing of LED lighting products," Chairman of ICEA's Consumer Electronics and Appliances Committee Sunil Vachani said.

ICEA is the apex industry body for the mobile and electronics industry comprising manufacturers, brand owners, technology providers, VAS application & solution providers, distributors, and retail chains of mobile handsets and electronics.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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