PLI Scheme Boosts Telecom Manufacturing, Generates Over Rs 78,000 Cr in Sales

The Department of Telecommunications (DoT) launched the Production Linked Incentive (PLI) scheme on February 24, 2021, to strengthen domestic manufacturing of telecom and networking products in India. With an outlay of ₹12,195 crore, the scheme aims to promote local production and exports.

According to an official release, as of January 31, beneficiaries have invested ₹4,081 crore, generating total sales of ₹78,672 crore, including export sales worth ₹14,963 crore. Additionally, the scheme has created employment for 26,351 individuals.

To further encourage design-led manufacturing, the government has introduced a 1% additional incentive for products that are designed, developed, and manufactured in India. The PLI guidelines have also been revised, allowing greater flexibility in domestic production.

The approved product list has been expanded, with 11 new items added based on industry demands. Companies participating in the scheme can now include one or more of these products at any stage during the scheme’s tenure and have the option to file incentive claims every quarter.

The PLI scheme now covers 33 telecom and networking products, making them eligible for incentives.

This information was provided by Dr. Pemmasani Chandra Sekhar, Minister of State for Communications and Rural Development, in a written reply to the Rajya Sabha on March 20.