- It has a total cost including an incentive outlay of ₹7,325 crore and administrative charges of ₹25 crore
- Production worth ₹3.26 lakh crore and exports of ₹2.45 lakh crore are estimated over the next four years under the new scheme, which is expected to create 1.80 lakh jobs
The cabinet has Wednesday approved a production linked incentive (PLI) scheme worth ₹7,350 crore for the next four years for laptops, tablets, all-in-one personal computers and servers. It has a total cost including an incentive outlay of ₹7,325 crore and administrative charges of ₹25 crore.
A government statement said that eligible companies will be incentivised four per cent to one per cent on incremental sales of goods manufactured in India (over the base year 2019-20), over the next four years. Production worth ₹3.26 lakh crore and exports of ₹2.45 lakh crore are estimated over the next four years under the new scheme, which is expected to create 1.80 lakh jobs.
Global hub for Electronics System Design and Manufacturing (ESDM)
Ravi Shankar Prasad, Minister for Communications and IT said at the briefing after the Cabinet meeting that the scheme is likely to benefit five major global players and ten domestic champions in the field of IT hardware manufacturing, including laptops, tablets, all-in-one PCs, and servers. This is an important segment to promote manufacturing under AtmaNirbhar Bharat as there is huge import reliance for these items at present.
He added that the scheme will enhance the development of the electronics ecosystem in the country. India will be well-positioned as a global hub for Electronics System Design and Manufacturing (ESDM) on account of integration with global value chains. It will thus become a destination for IT hardware exports.
Prasad said that the scheme will provide impetus to domestic value addition for IT Hardware which is expected to rise to 20- 25 per cent by 2025 from the current 5-10 per cent.
