PLI Scheme for Telecom Products Sees Rs 3,998 Crore in Investment

The Production-Linked Incentive (PLI) scheme for telecom and networking products has seen Rs 3,998 crore in actual investments, nearing the Rs 4,014 crore target, according to a report shared in Parliament on Wednesday.

Dr. Chandra Sekhar Pemmasani, Minister of State for Communications and Rural Development, informed Lok Sabha that 42 beneficiaries had been approved under the scheme as of October 31.

The PLI scheme, launched in 2021 by the Department of Telecommunications (DoT), aims to boost the domestic manufacturing of telecom products and reduce the country's import dependency. With a total financial outlay of Rs 12,195 crore, the scheme has also introduced amendments offering a 1% additional incentive for products designed, developed, and manufactured in India.

Exports under the PLI scheme for telecom and networking products reached Rs 12,384 crore by September 30, with applicant companies achieving total sales worth Rs 65,320 crore. The scheme covers 33 telecom and networking products and offers incentives ranging from 4% to 7%, with additional benefits for MSMEs and products designed in India.

The PLI scheme for large-scale electronics manufacturing, introduced in 2020, has also played a crucial role in reducing India’s reliance on imported telecom equipment. The scheme encourages local production, positioning Indian manufacturers to compete globally with high-quality products at competitive prices.

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