PLI Scheme Progress: Electronics Sector Receives Rs 1,000 Crore Nod from Empowered Committee

In a significant move, the Empowered Committee overseeing the Production-Linked Incentive (PLI) scheme has given the green light for a substantial disbursement of Rs 1,000 crore to beneficiary firms in the electronics sector. This announcement comes from a high-ranking government official, marking a pivotal step in advancing domestic manufacturing, job creation, and bolstering exports.

Image Source -www.inventiva.co.in

In a significant move, the Empowered Committee overseeing the Production-Linked Incentive (PLI) scheme has given the green light for a substantial disbursement of Rs 1,000 crore to beneficiary firms in the electronics sector. This announcement comes from a high-ranking government official, marking a pivotal step in advancing domestic manufacturing, job creation, and bolstering exports.

The government has already allocated Rs 2,900 crore by March 2023 out of the total claims amounting to Rs 3,400 crore filed under the PLI scheme. Launched in 2021, this initiative spans across 14 sectors, encompassing large-scale electronic manufacturing, textiles, medical devices,automobiles, and more. The scheme boasts an impressive outlay of Rs 1.97 lakh crore, demonstrating the government's commitment to industrial growth.

During the latest committee meeting, the Rs 1,000 crore disbursement for the electronics sector gained unanimous approval. However, the actual allocation to the beneficiary companies is expected to materialize in the coming days. This marks the inaugural disbursement of the current fiscal year, underscoring the scheme's ongoing impact on economic revitalization.

The PLI scheme has witnessed notable success in sectors like electronics, pharmaceuticals, and medical devices. Notably, 32 beneficiaries have received approval under the PLI scheme for large-scale electronics manufacturing, including mobile phones and specified electronic components.

The process for proposing disbursement incentives is spearheaded by respective ministries and departments responsible for scheme implementation. This is subsequently evaluated by the Empowered Committee, comprising key stakeholders from NITI Aayog, the Department for Promotion of Industry and Internal Trade, and other relevant bodies.

For sectors experiencing sluggish PLI disbursement or firms struggling to meet performance targets, departments are actively exploring corrective measures. In tandem with this, high-level review meetings have been conducted recently to gauge the scheme's progress and make necessary adjustments.

Also Read: Congress Prepares For Key Central India Assembly Elections With Candidate Reveal

Despite certain sectors facing challenges, there remains optimism among officials that disbursements will gain momentum in the near future. Sectors demonstrating robust PLI performance include large-scale electronics manufacturing, pharmaceuticals, food processing, and white goods.

In contrast, areas like high-efficiency solar PV modules, advanced chemistry cell (ACC) batteries, textile products, and specialty steel are being closely monitored for potential improvements in PLI uptake. This concerted effort underscores the government's commitment to catalyzing growth across various industries.