As per industry sources, telecom equipment makers have produced more than Rs 62 billion worth of products with an investment of close to Rs 2.47 billion since the launch of the production-linked incentive (PLI) scheme for the segment. The production and investment have so far been driven by large multinational players such as Ericsson and Nokia, with Indian companies having sought an extension to meet their targets.
Reportedly, multinational corporations (MNCs) have invested Rs 1.51 billion. In addition, large Indian manufacturers have invested Rs 860 million, while the remaining Rs 97 million of investment came from micro, small and medium enterprises (MSMEs).
Meanwhile, on the production side, the global players accounted for Rs 54.71 billion of production as of now, while the large Indian companies contributed Rs 6.41 billion to the total and MSMEs accounted for the balance Rs 1.22 billion.
Recently, a number of domestic and multinational contract manufacturers had written to the Department of Telecommunications (DoT) seeking a year’s extension to meet targets under the scheme. The DoT had approved 31 proposals under the scheme, entailing investments of Rs 33.45 billion over four-and-a-half years. The companies selected for the PLI scheme included Nokia India, Ericsson’s Jabil unit, HFCL, Dixon Technologies, Flextronics, Foxconn, Coral Telecom, VVDN Technologies, Tejas Networks Akashastha Technologies and GS India.
