In light of the enthusiastic response from the industry, the government estimated that over the next five years, it will lead to the production of mobiles and components worth Rs 11.5 lakh crore. With the growth in electronics manufacturing in the country, the surge in the demand for wires and cables will certainly take a leap.
August 3, 2020
The minister of electronics and IT Ravi Shankar Prasad has announced a healthy response to the Rs. 41000 crore Production Link Incentives (PLI) scheme, welcoming Apple and Samsung to India.
According to the media reports, over 22 applications were received, under the scheme. The list of global applicants includes Samsung, Pegatron, Foxconn, Winston and Rising Star. There was significant interest expressed by local manufacturers also, with applications being filed by Lava, Dixon, Micromax, Sojo, Optimus and Padget Electronics.
Meanwhile, conspicuous by the absence in the list of applicants were Chinese players. None of the Chinese companies such as Oppo, Vivo, Realme and OnePlus have applied for benefits under the PLI scheme.
On the absence of the Chinese firms, IT minister maintained that the rules with respect to investment and security were clearly defined for countries neighbouring India. Ravi Shankar Prasad, without naming any country, reiterated that these rules on security and investment will need to be complied with.
The ministry also revealed that over 40 applications were also received for the Electronics Manufacturing Clusters (EMC) scheme aimed at boosting manufacturing of electronics components.
In light of the enthusiastic response from the industry, the government estimated that over the next five years, it will lead to the production of mobiles and components worth Rs 11.5 lakh crore.
The government projects that of the Rs 11.5 lakh crore, over Rs 7 lakh crore worth of mobiles and components will be exported. As per the government estimate, this is likely to lead to the creation of 3 lakh jobs directly, and over 9 lakh indirect jobs.
With the growth in electronics manufacturing in the country, the surge in the demand for wires and cables will certainly take a leap. New and more electronic gadgets mean more use of cables. When the companies will manufacture gadgets under the PLI scheme in India, then more and more cables will be sourced from the domestic manufacturers. The best example of cable applications is the USB cable, and for the past few years, we have seen USB put into various applications, rather than just charging the mobile phones.
