New Delhi, May 17: The Union Cabinet, under the leadership of Prime Minister Shri Narendra Modi, has given its approval to the Production Linked Incentive (PLI) Scheme 2.0 for IT Hardware, with a budgetary outlay of Rs. 17,000 crore.
In the context of India’s flourishing electronics manufacturing sector, which has witnessed a consistent growth rate of 17% over the past 8 years, the country has now become the world’s second-largest manufacturer of mobile phones. With mobile phone exports exceeding $11 billion (about Rs. 90,000 crore), India is establishing itself as a major player in the global electronics manufacturing ecosystem.
Building upon the success of the PLI scheme for mobile phones, the Union Cabinet has now approved the PLI Scheme 2.0 for IT hardware. This scheme will encompass laptops, tablets, all-in-one PCs, servers, and ultra-small form factor devices.
With a budgetary outlay of Rs. 17,000 crore and a duration of 6 years, the scheme aims to generate significant incremental production valued at Rs. 3.35 lakh crore. It is also expected to attract incremental investment worth Rs. 2,430 crore and create approximately 75,000 direct employment opportunities.
India’s growing reputation as a trusted supply chain partner for global majors has garnered strong interest from large IT hardware companies to establish manufacturing facilities within the country. This is further supported by the robust demand for IT services within India.
Moreover, many major players in the industry are keen to not only serve the domestic market from within India but also position the country as an export hub.
The approval of the PLI Scheme 2.0 for IT hardware underscores the government’s commitment to boosting domestic manufacturing, attracting investments, and positioning India as a global hub for IT hardware production.
