Qualcomm commends India’s PLI scheme, coinciding with Make in India drive to boost exports
Qualcomm commends India: Technology company, Qualcomm commended Indian government’s move to launch Product-Linked Incentive (PLI) scheme along with its Make-in-India drive. The company believed that the scheme would give a big push to Indian industries, supply chain and exports. In the past few months, Indian government promoted PLI scheme in different phases in order to encourage local producers under its newly adopted policy to mission for ‘Atmanirbhar Bharat’ / self-reliant India.
PLI scheme focused on supporting domestically manufactured products including smartphones, electronics and other technology products, air conditioner, television, medicines, automobiles and components and textile.
Rajen Vagadia, VP and President, Qualcomm India and SAARC, told PTI, “The strategic timing of the PLI scheme has placed India in a great position for the future.” He added, “The production linked incentive scheme by the government is a big catalyst as it will help global companies move their manufacturing and large parts of their supply chain to India and local companies to serve not just India but also export their products.”
Last month, the government announced the PLI scheme for electronic and technology goods with an approved budget of Rs 5000 crore for a five-year tenure. The overall cost for the newly added categories, which included pharmaceuticals, automobiles and auto components, home appliances such as ACs and TVs and textile products, was Rs 1,45,980 crore. It aimed at acing their production to nab the export market.
Besides, the government also pushed for digital technology and announced its plan to make India a $1 trillion digital economy by 2025. The plan focused on data localization, providing digital accessibility of markets in India, as well as the setting up Smart City and Digital India initiatives. The digital operation would also indirectly promote electronic and technology products ranging from laptop, notebooks, semiconductor fabrication, display fabrication, servers, to computer hardware.
“The Indian government’s decision to introduce PLI for laptops is timely and in the right direction. We are confident that it will encourage local manufacturing and further bolster the local PC market, which is already seeing a positive momentum under the current work and learn from home scenarios,” said Rahul Agarwal, CEO and MD, Lenovo India, told News18.
Few month ago, the government also actively promoted PLI scheme for smartphone manufacturers to incentivise their production within the country. For this industry, the Ministry of Electronics and Information Technology (MEITY) introduced an outlay of Rs 40,951 crore for the next few years and welcomed smartphone manufacturers including Samsung, Apple’s Foxconn, Wistron, and Pegatron as well as domestic producers like Lava, Micromax (Bhagwati), Padget Electronics, UTL Neolyncs, and Optiemus Electronics.