Bhagwati Products Limited has received a disbursement of Rs 53 million from the Ministry of Electronics and Information Technology (MeitY) under the production-linked incentive (PLI) scheme for IT hardware. With this, it has become the first domestic company to receive disbursement under the scheme after it qualified incremental sales thresholds and investment criteria as per the requirements of the scheme.
The company, which manufactures smartphones, LED TVs, tablets, laptops and air-conditioners from its two facilities in Bhiwadi and Hyderabad with an annual capacity of 20 million units, was one of the indigenous companies that were approved under the existing PLI schemes for smartphones, IT hardware (tablets and laptops), and air-conditioning components. 13 other companies that received approval for incentives under the scheme include Dell, ICT (Wistron), Flextronics and Rising Stars Hi-Tech (Foxconn), Lava International Limited, Dixon Technologies India Limited, and Infopower Technologies (JV of Sahasra and MiTAC).
MeitY issued the notification for the PLI scheme for IT Hardware on March 3, 2021. The scheme extends an incentive of 4 per cent to 2 per cent / 1 per cent on net incremental sales (over a base year) of goods manufactured in India and covered under the target segment, to eligible companies, for four years. The target segment under the PLI IT hardware scheme includes laptops, tablets, all-in-one personal computers and servers.
