Monday, July 13, 2020
Home News Reports Union govt unveils three schemes worth Rs 50,000 crore to make India self-reliant in...

Union govt unveils three schemes worth Rs 50,000 crore to make India self-reliant in electronics manufacturing

The Union Minister also said the government will pick up "five global champions" who will be permitted to participate under the PLI scheme. Five Indian companies will also be added in the scheme.

Also Read

OpIndia Staffhttps://www.opindia.com
Staff reporter at OpIndia

To give a fillip to the electronics manufacturing sector in the country, the Modi government on Tuesday urged the firms to apply for schemes to promote electronic manufacturing in India to help them become global champions.

The Ministry of Electronics & IT government had announced three schemes in April – Production linked Incentive (PLI), component manufacturing schemes (SPECS) and cluster schemes (EMC 2.0) in an aim to increase electronics manufacturing rapidly by 2025 and create additional 1.5-2 million new jobs in the short term.

Reiterating the same, the Union IT minister Ravi Shankar Prasad released detailed guidelines about the three new initiatives of the government and asked companies to start applying for the schemes to avail the benefit.

The total value announced today stands at Rs 50,000 crore with the goal of increasing production to $106 billion from $70 billion in 2018-19. The target for exports of electronic components is $77 billion.

The Union Minister also said the government will pick up “five global champions” who will be permitted to participate under the PLI scheme. Five Indian companies will also be added in the scheme.

Three schemes to boost electronics manufacturing in the country

Under the Production linked Incentive scheme, the government will provide an incentive of 4-6 per cent on incremental sales of goods manufactured in the country up to 2025. The PLI scheme takes the largest portion of the benefits, standing at approximately Rs 40,000 crore and is expected to help large scale manufacturing of mobile and other gadgets.

The second scheme – Scheme for Promotion of Manufacturing of Components and Semiconductors (SPECS), is aimed at promoting component manufacturing in India. The scheme intends to reduce imports of electronic components, which the industry currently undertakes to assemble products here. The government will provide a financial incentive of 25% on capital expenditure for a list of electronic goods, which include electronic components, semiconductor/ display fabrication units, Assembly, Test, Marking and Packaging (ATMP) units, specialized sub-assemblies and capital goods for manufacture of these products. 

The scheme will remain open for three years for investors to apply and for five years for investments. The outlay for the scheme amounts to Rs 3,285 crore.

Lastly, the Electronics Manufacturing Cluster Scheme (EMC 2.0) project will provide land for large manufacturing clusters, and other infrastructure requirements. The scheme is a modified version of the earlier EMC scheme. The EMC 2.0 shall provide support for the creation of world-class infrastructure along with common facilities and amenities, including Ready Built Factory (RBF) sheds / Plug and Play facilities for attracting major global electronics manufacturers, along with their supply chains, the ministry statement says.

Focus on mobile manufacturing in India

The Union Minister Prasad also added that electronics manufacturing in the country was valued at Rs 1,90,366 crore in 2014, which has seen a rise to Rs 4,58,000 crore today, while its share in global manufacturing has risen to 3% in 2018 from 1.3% in 2012. The minister also added that th exports grew by 38% year-on-year between 2018 and 2019.

“India is now a second-biggest mobile manufacturing country in the world. From just 2 factories, we now have 200 manufacturing units,” added Prasad, the Union minister for electronics and IT.

The Modi government wants India to be a mobile manufacturing hub and intends to make the country to become the largest exported item from India and domestic value addition of 35-40% to mobile manufacturing by 2025.

The new scheme announced by the Modi government is meant to help mobile manufacturing in a big way. However, the government also want to boost other sectors like automobile electronics, medical electronics, strategic electronics like defence, which will have a bearing from the development of electronics manufacturing in the country.

  Support Us  

Whether NDTV or 'The Wire', they never have to worry about funds. In name of saving democracy, they get money from various sources. We need your support to fight them. Please contribute whatever you can afford

OpIndia Staffhttps://www.opindia.com
Staff reporter at OpIndia

Trending now

Islamists issue rape threats to a social media user for asking Muslims to recite Azaan at lower volume

Apart from Fardeen Modal, Ashi's Azaan tweet miffed other Muslims, who also abused the Hindu girl on Twitter

Secret meetings, plan of action and riots: How Safoora Zargar and others are intertwined in the murder of Ratan Lal during Delhi riots

Name of Jamia Millia Islamia student Safoora Zargar appears multiple times in Ratan Lal murder chargesheet

Google head Sundar Pichai, who studied at IIT Kharagpur, is all set to bring a digital revolution worth Rs 75,000 crore in India: Read...

Google, headed by Sundar Pichai, pitches in to help bring about a digital revolution in India

A tribute to Tapan Ghosh: The firebrand leader who helped Muslim women marry their Hindu lovers and secure a happy ending to their love...

Hindutva Icon of West Bengal, Tapan Ghosh, passed away on Sunday, days after he was diagnosed with the Wuhan Coronavirus.

Sharad Pawar, Mamata Banerjee, Jagan and Himanta Biswa: How Congress ignored key regional leaders and eventually lost those states

Choosing loyalists over popularity and calibre has cost Congress dearly. Losing key regional leaders has decimated the party to ruins in many states.

Uttar Pradesh govt starts door-to-door medical screening for coronavirus

Uttar Pradesh Chief Minister Yogi Adityanath, in a tweet on Saturday had said that medical screening and testing are the most important means to prevent the spread of coronavirus infection.

Recently Popular

The curious case of ‘Drone Boy’ who has made 600 drones using broken mixer grinders and televisions. A fact-check

While 'drone boy' Prathap NM has claimed to have made 600 drones using e-waste, not a single photo or video of them exist

‘Drone boy’ Prathap NM makes a statement after OpIndia fact-check: Here is why his explanation makes little sense

'Drone boy' Prathap NM says he won't show his drones due to intellectual property issues, but will show certificates from unregistered events

Sachin Pilot reaches Delhi with 25 MLAs amid speculations of Rajasthan government collapse, Gehlot holds late night meetings

Ashok Gehlot claimed that the State government was stable and would continue to remain so despite all efforts to the contrary

Pakistanis are shocked that Turkish actress does not cover herself head-to-toe in real life like her role in TV show Ertugrul, slams for wearing...

Pakistani Islamists troll Turkish actress Esra Bilgiç for her modern clothing, not traditional dress like her historical role in a TV show

‘Maaro, Kafiro ko Maaro’: From creating fake alibi to mobilising thousands of Muslims against Hindus, read what Tahir Hussain did in his own words

Disclosure Statement in the chargesheet which was narrated and signed by Tahir Hussain in his own words, reveal a sinister design during Delhi riots

Stand-up comedian apologises for insulting memorial to Chhatrapati Shivaji Maharaj in Arabian sea after MNS workers vandalised studio

The stand-up 'comedian' Agrima Joshua had made scornfully derisive remarks in her video against the Chhatrapati Shivaji Maharaj memorial that is going to be erected in the Arabian Sea

AIB co-founder Rohan Joshi, who wanted entire Pawar family dead, deactivates his Twitter account

AIB co-founder Rohan Joshi has deactivated his account after screenshots of his abusive tweets against politicians went viral .

Gehlot’s last ‘resort’? Congress moves MLAs to Jaipur hotel, Pilot claims Rajasthan govt has lost majority

Reports claimed that 107 MLAs, including some independents, were present at the CM's residence. Congress has moved its MLAs to a resort in Jaipur.

In touch with ISIS recruiters since 2015: NIA arrests 2 Islamic State terrorists in Pune planning to carry out terror attacks in India

The duo arrested by the NIA were involved in promoting and propagating ISIS and their activities in India

CPI(M) bats openly for ‘Urban Naxals’, including a convicted Maoist, demands their immediate release on grounds of health

The polit bureau of the CPI(M) has demanded the immediate release of dreaded 'Urban Naxals' on health grounds.

Islamists issue rape threats to a social media user for asking Muslims to recite Azaan at lower volume

Apart from Fardeen Modal, Ashi's Azaan tweet miffed other Muslims, who also abused the Hindu girl on Twitter

Kerala: Kottayam court cancelled Bishop Franco’s bail, issues non-bailable warrant in nun rape case

The court issued a non-bailable warrant against the rape-accused bishop after he failed to appear for the 14th time in the proceedings of the local Kerala court on Monday.

Secret meetings, plan of action and riots: How Safoora Zargar and others are intertwined in the murder of Ratan Lal during Delhi riots

Name of Jamia Millia Islamia student Safoora Zargar appears multiple times in Ratan Lal murder chargesheet

India may have 17 lakh+ total coronavirus cases by 3rd August, with over 6.9 lakh active cases, says study

India may have 17 lakh+ Covid-19 cases by 3rd August, says Professor Shamika Ravi.

Google head Sundar Pichai, who studied at IIT Kharagpur, is all set to bring a digital revolution worth Rs 75,000 crore in India: Read...

Google, headed by Sundar Pichai, pitches in to help bring about a digital revolution in India

West Bengal: Cops recover ‘suicide note’ from the deceased BJP MLA Debendra Nath Roy. Read details

Debendra Nath Roy was found hanging from the roof of a closed tea shop in the village of Balia in Bindol Panchayat in Rajiganj.

Connect with us

235,856FansLike
405,797FollowersFollow
274,000SubscribersSubscribe