The government has announced an extension of the tenure of the production-linked incentive (PLI) scheme for large-scale electronics manufacturing with a focus on mobile phones by a year until 2025-26.
With this announcement, while the base year of the scheme 2019-20 remains the same, the companies will have the option to choose their five-year period either from the base year or the year 2020-21 for calculation of the incentives under the scheme.
This will give a major relief to mobile phone makers in achieving their targets.
Commenting on the development, A. Gururaj, managing director, Optiemus Electronics Limited, said, “Optiemus Electronics welcomes the government’s move to extend the tenure of the PLI scheme. We are grateful to the government for having considered the industry’s request in view of some of the problems faced due to the pandemic. Optiemus is fully committed to working towards the Atma Nirbhar Bharat initiatives of the Hon Prime Minister and we are confident Optiemus will show positive results as a result of the PLI scheme.”
Meanwhile, Foxconn said that the extension granted for achieving manufacturing targets under the PLI scheme will help the company to accelerate its business and qualify for receiving incentives. Foxconn has been approved by the government to qualify for PLI incentives by production via its two units- Hon Hai and Rising Stars.