Govt Issues Operational Guidelines Under PLI Scheme For Telecom Sector
Full utilization of the scheme funds is likely to lead to incremental production of around Rs 2.4 Lakh crores, with exports of around Rs 2 lakh crores over five years.
Mumbai: The government on Thursday issued operational guidelines under the Production Linked Incentive (PLI) Scheme to boost domestic manufacturing, investments, and export in the telecom and networking products.
The guidelines issued after extensive consultations with stakeholders envisage creating global champions out of India who can grow in size and scale using cutting-edge technology and thereby penetrate the global value chains.
ALSO READ | Elon Musk’s Tesla To Enter Indian Market This Year; Begins Hiring For Senior Roles In India
The PLI Scheme will be implemented within the overall financial limits of Rs 12,195 crores over five years, while for the MSME category, financial allocation will be Rs 1000 crores, said a government statement.
Small Industries Development Bank of India (SIDBI) has been appointed as the Project Management Agency (PMA) for the PLI scheme to be effective from April 1, 2021.
The investment made by successful applicants in India from April 1, 2021, onwards and up to Financial Year (FY) 2024-2025 shall be eligible, subject to qualifying incremental annual thresholds, said the statement adding that the support under the scheme shall be provided for a period of five years.
The Scheme is open to both MSME and Non-MSME companies, including domestic and global firms. Manufacturers with products with Indian technology are also encouraged to apply.
Interested eligible applicants can start the registration process for the scheme from June 4, 2021, and the application window shall be open for 30 days.
ALSO READ | Reliance Announces Family Support & Welfare Scheme To Help Kin Of Covid Deceased Employees
The scheme stipulates a minimum investment threshold of Rs 10 crores for MSME and Rs 100 Crores for non-MSME applicants. Land and building costs will not be counted as investments. Eligibility shall be further subject to incremental sales of manufactured goods over the base year (FY2019-20), said the statement.
It is estimated that full utilization of the scheme funds is likely to lead to incremental production of around Rs 2.4 Lakh crores with exports of around Rs 2 Lakh crores over five years. It is also expected that the Scheme will bring an investment of around Rs 3,000 crore and generate substantial direct and indirect employment.
Before You Go
BREAKING NOW: Indore fire tragedy as EV short circuit triggers deadly explosions
Top Headlines
