Combining the investment of greenfield and brownfield companies, 32 companies invested ₹82.82 billion under India’s PLI scheme for large-scale electronics till June, revealed Minister Jitin Prasada.
As of June end, 32 companies had invested a total of ₹82.82 billion under the Production-linked Incentive (PLI) scheme for large-scale electronics manufacturing in India. Minister of State for Electronics and IT Jitin Prasada disclosed this information to the Lok Sabha in a written response on Wednesday.
Of the companies, 7 are greenfield and 25 are brownfield. By June 30, 2024, greenfield companies had invested ₹31.36 billion, while brownfield companies had invested the remainder of ₹51.46 billion.
The minister reported that under PLI Scheme 2.0 for IT hardware, 27 companies were approved, including 6 greenfield and 21 brownfield. By June 30, 2024, they invested a total of ₹464.66 crore, with brownfield companies contributing ₹386.09 crore and greenfield companies ₹78.57 crore.
Greenfield projects involve developing new infrastructure on previously undeveloped land, often at lower land acquisition costs due to the area’s minimal prior development. These are meant to create new development opportunities and typically include construction in areas with no existing structures.
In contrast, Brownfield projects focus on expanding or redeveloping existing infrastructure or land already used, such as widening existing roads. These projects optimise and enhance already developed areas.
The PLI scheme for large-scale electronics, launched on April 1, 2020, approved 32 companies with a ₹113.24 billion investment and a ₹10.7 trillion production target. The IT hardware scheme, initiated on March 3, 2021, and its 2.0 version from May 29, 2023, initially approved 14 companies with a ₹25.17 billion investment and a ₹1.6 trillion production target.
Under Scheme 2.0, 27 companies were approved with a ₹29.55 billion investment and a ₹3.5 trillion production target, with 13 of the original 14 firms transitioning to this version. The government has maintained the original criteria for all PLI schemes.
However, to aid companies hit by COVID-19, the PLI Scheme for Large Scale Electronics Manufacturing has been extended by a year, allowing firms to meet production targets over any five-year period until 2025-26.
