Union Cabinet Chaired by Prime Minister Shri Narendra Modi Approved the Introduction of Production Linked Incentives (PLI) Scheme 2.0 for IT Hardware to Enhance India’s Manufacturing Capacities and Enhance Exports – Atmanirbhar Bharat on 17th May 2023.
The scheme was notified on 29 May 2023. The application window under the PLI Scheme 2.0 for IT hardware will open from 01 June 2023.
The PLI Scheme 2.0 for IT hardware is expected to result in a broadening and deepening of the manufacturing ecosystem by encouraging the localization of components and sub-assemblies and allowing for a longer duration for supply chain development within the country. Furthermore, the scheme offers more flexibility and options for applicants and is tied to incremental sales and investment thresholds to further incentivize growth. Additionally, semiconductor design, integrated circuit manufacturing, and packaging are also included as incentivized components of the PLI Scheme 2.0 for IT hardware.
- The PLI Scheme 2.0 for IT hardware was approved with a budget outlay of ₹17,000 crore.
• The scheme is expected to lead to a total output of approximately ₹ 3.35 lakh crore, carry an additional investment of ₹ 2,430 crore in electronics manufacturing and lead to the generation of 75,000 additional direct jobs.
• The scheme will promote the large-scale production of laptops, tablets, all-in-one PCs, servers and ultra-small form factor (USFF) devices and significantly contribute to achieving an electronics manufacturing revenue of approximately 300 billion dollars by 2025-26.
• Existing approved PLI applicants will be able to apply under PLI 2.0.
- The scheme has three categories of applicants, namely global companies, hybrid companies (global/domestic) and domestic companies.
Details of PLI Scheme 2.0 for IT hardware are available at the following URL:
https://www.meity.gov.in/content/production-linked-incentive-scheme-pli-20-it-hardware