The Cabinet on Wednesday approved the Production Linked Incentive Scheme 2.0 for IT Hardware with a budgetary outlay of Rs 17,000 crore.
Electronics manufacturing in India has witnessed consistent growth with a 17 per cent compound annual growth rate (CAGR) in the last 8 years to cross a major benchmark in production — USD 105 billion (about Rs 9 lakh crore) — this year.
“For IT PLI, the budgetary outlay is Rs 17,000 crore. The tenure of the programme is 6 years,” Union Minister for IT
and Telecom Ashwini Vaishnaw told reporters after the cabinet meeting.
PLI Scheme 2.0 for IT hardware covers laptops, tablets, all-in-one PCs, servers and ultra-small form factor devices.
The minister said the scheme is expected to lead to incremental production of Rs 3.35 lakh crore, incremental investment of Rs 2,430 crore and create incremental direct employment for 75,000 people during the scheme period.
The government in February 2021 approved the PLI scheme for IT hardware, covering the production of laptops, tablets, All-in-One PCs and servers with an outlay of Rs 7,350 crore.
However, industry players had requested the government to enhance outlay for the segment.