The Union Cabinet on Wednesday approved a Production Linked Incentive (PLI) scheme for telecom and networking products.
Telecom manufacturing is expected to get boost with outlay of ₹ 12,195 crore over five years leading to enhanced production of more than ₹ 2.4 lakh crore, said Union Telecom Minister Ravi Shankar Prasad.
The minister said that soon the government will come up with a PLI scheme to encourage production of laptops and tablet PCs.
The eligibility for the scheme will be subject to achievement of a minimum threshold of cumulative incremental investment and incremental sales of manufactured goods net of taxes. Financial Year 2019-20 shall be treated as the Base Year for computation of cumulative incremental sales of manufactured goods net of taxes.
The scheme will be operational from April 1, 2021.
A similar PLI scheme related to mobile and component manufacturing was announced in April 2020 during the height of Covid pandemic.