- 12 lakh employment opportunities to be created with the proposal submitted by the companies to the Ministry of Electronics and IT
- Indian companies like Bhagwati ( Micromax ), Padget Electronics, Sojo Manufacturing Services, and Optiemus Electronics have also applied
- Apple and Samsung together account for nearly 60% of global sales revenue of mobile phones
According to a report, Apple suppliers Foxconn, Wistron, and Pegatron along with Samsung, Lava and Dixon are among the 22 applicants for the government of India’s mega electronics manufacturing investment scheme called the Production Linked Incentive.
These investments are expected to sum unto Rs. 11,50,000 crore of total production in the next five years. There would also be an employment potential of three lakh direct employment and nine lakh indirect employment as shared by Union Minister for electronics and IT, Ravi Shankar Prasad.
He also added that the development is ‘industry positive’ and India is known for offering a stable investor-friendly government, a huge domestic market adding that the scheme is not against any country. Ravi Shankar said “We have proper rules and regulations with regard to our security and with bordering countries”.
Prasad also said that Apple and Samsung are welcome to boost manufacturing. Companies like Lava, Micromax, are also welcomed and urge them to transform into champions,” Prasad said.
Additional investment in electronics manufacturing
According to a report, Foreign companies which have a threshold of Rs.15,000 have proposed a production of over Rs.9,00,000 crore, which the domestic companies would be contributing to the remaining Rs. 2,00,000 crore worth of production. Companies under the Specified Electronic Components segment have proposed a production of over Rs. 45,000 crore, he said.
Apart from Lava and Dixon, Indian companies like Bhagwati ( Micromax ), Padget Electronics, Sojo Manufacturing Services, and Optiemus Electronics have applied under the domestic companies segment under this scheme.
Nerarly 60% of the total production would be contributed by exports and the scheme is expected to bring additional investment in electronics manufacturing to the tune of INR 11,000 crore.
It has also been reported that Apple (37%) and Samsung (22%) together account for nearly 60% of global sales revenue of mobile phones and this scheme is expected to increase their manufacturing base manifold in the country as shared by the ministry of electronics and IT.
Officials have also shared that fresh proposals have exceeded the government’s manufacturing revenue target but the final outcome will depend on the decision of the screening committee that will select projects eligible for incentives. Under the Specified Electronic Components Segment, 10 companies have applied which include names such as AT&S, Ascent Circuits, Visicon, Walsin, Sahara, Vitesco, and Neolync.
