Government Greenlights Electronics Component Incentive Scheme

The Indian government has approved a new incentive scheme aimed at boosting non-semiconductor electronics component production, with a Rs 22,919 crore budget. The scheme is expected to attract investments of Rs 59,350 crore over six years, targeting passive components within the industry.

The Indian government has officially launched a production-linked incentive (PLI) scheme for non-semiconductor electronics components. Approved by the Union Cabinet, the initiative boasts a financial allocation of Rs 22,919 crore, targeting an influx of investments totaling Rs 59,350 crore. Union Electronics and IT Minister Ashwini Vaishnaw announced the scheme on Friday, underscoring its focus on passive components.

Speaking about the scheme, Minister Vaishnaw highlighted its six-year timeframe, ensuring sustained commitment and investment within the electronics sector. The initiative reflects the government's strategic direction towards enhancing India's manufacturing capabilities in the electronics domain.

This move is expected to considerably boost local production, reduce import dependence, and strengthen India's position as a global electronics manufacturing hub, creating new opportunities for the industry and associated sectors.

(With inputs from agencies.)