The ministry notified the scheme on May 29 and plans to open the window of applications from June 01, 2023
With the aim to push India’s manufacturing capabilities and enhance exports, the Union Cabinet approved the Production Linked Incentive (PLI) scheme 2.0 for IT Hardware on May 17, 2023. The government allocated a total budget of Rs 17,000 crore for a tenure of six years.
In a recent update, the ministry notified the scheme on May 29, 2023, and plans to open the window of applications under the scheme from June 01, 2023. It is noteworthy that the approved applicants of existing PLI will be allowed to apply under PLI 2.0.
The PLI Scheme 2.0 for IT hardware will cover laptops, tablets, all-in-one PCs, servers, and ultra-small form factor devices. The ministry conveyed in a press release that through this scheme, it expects the encouragement of the localisation of components and sub-assemblies.
It is anticipated that the scheme will result in broadening and deepening of the manufacturing ecosystem. Further, a cumulative production value of nearly ₹ 3.35 lakh crore is anticipated, in addition to attracting an additional investment of ₹ 2,430 crore in the electronics manufacturing sector, and creating 75,000 additional direct employment opportunities.
The ministry also mentioned in the press release that the scheme provides increased flexibility and options for applicants, and is tied to incremental sales and investment thresholds to further incentivise growth.
