MEITY Launches 3 Schemes Worth Rs 50,000 crore to Push Domestic Electronics Manufacturing
MEITY Launches 3 Schemes Worth Rs 50,000 crore to Push Domestic Electronics Manufacturing

MEITY Launches 3 Schemes Worth Rs 50,000 crore to Push Domestic Electronics Manufacturing

  • The Ministry of Electronics & Information Technology launched three schemes to encourage domestic manufacturing.
  • These are the Production Linked Incentive Scheme (PLI) for Large Scale Electronics Manufacturing, the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) and the Modified Electronics Manufacturing Clusters (EMC 2.0) Scheme.
  • The schemes have an outlay of Rs 50,000 crores (~$6.65 billion).
  • The Manufacturers’ Association for Information Technology welcomed the scheme; “MAIT is delighted on the introduction of this policy, the formulation of which was deliberated aggressively with the stakeholders,” the association’s president Nitin Kunkolienker said in a statement.
  • “The mobile manufacturing industry is very positive about the move and this scheme will help meet the targets under the National Policy on Electronics, 2019. This will certainly lead to companies moving their supply chains to India. To increase the job creation, component manufacturing needs to be moved too.”
  • The PLI Scheme shall extend an incentive of 4% to 6% on incremental sales (over base year) of goods manufactured in India and covered under the target segments, to eligible companies, for a period of five years subsequent to the base year.
  • The apex body of IT manufacturers said the interruption in the global supply chain due to the pandemic gives India an opportunity to increase export-led manufacturing and broadening the scope of PLI to all other major sectors of electronics such as Consumer electronics, ICT, CPE products, Computers, Medical Electronics etc. will be a game-changer.
  • The SPECS shall provide financial incentive of 25% on capital expenditure for the identified list of electronic goods, i.e., electronic components, semiconductor/ display fabrication units, Assembly, Test, Marking and Packaging (ATMP) units, specialized sub-assemblies and capital goods for manufacture of aforesaid goods.
  • The EMC 2.0 shall provide support for 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.
  • According to data from MeitY, production of mobile handsets in 2018-19 has reached 29 crore units worth Rs. 1.70 Lakh crore from just 6 crore units worth Rs. 19,000 crore in 2014. While the exports of electronics has increased from Rs. 38,263 crore in 2014-15 to Rs. 61,908 crore in 2018-19, India’s share in global electronics production has reached 3% in 2018 from just 1.3% in 2012.
  • The schemes are expected to increase production of mobile phones and their parts to around Rs.10,00,000 crore by 2025 and generate around 5 lakh direct and 15 lakh indirect jobs, the government said.

About Meity-

The Ministry of Electronics and Information Technology (MeitY) is an executive agency of the Union Government of the Republic of India. It was carved out of the Ministry of Communications and Information Technology on 19 July 2016 as a standalone ministerial agency responsible for IT policy, strategy and development of the electronics industry.

  • Headquarters – New Delhi
  • Minister – Ravi Shankar Prasad
  • Minister of State – Sanjay Shamrao Dhotre

 जीके और दैनिक करेंट अफेयर्स अपडेट हिंदी में प्राप्त करें – क्लिक करें 

Attempt Free Mock Tests & Get Free eBooks

SBI Clerk 2023 Free Mock Tests – Attempt Free Here
SBI PO Mains 2023 Free Mock Tests – Attempt Free Here
IBPS PO Mains 2023 Free Mock Tests – Attempt Free Here
Free Current Affairs Test & Monthly Free eBook 2023 – Click Here
Download Free Ixammr Exam Preparation App By Let’s Study Together (LST)