22 Companies To Invest 11.5 Lakh Crores In India

22 companies including vendors of Samsung, Apple to invest 11.5 lakh crores, 12 lakh people will get jobs. In the electronics sector, 22 companies have shown interest in investing in India under Production Linked Incentive (PLI). These include many foreign companies, but four Chinese companies with a 70 percent share in India’s mobile phone market have kept themselves away from the scheme.

These include Xiaomi, Oppo, Vivo, and Realme. IT and Electronics Minister Ravi Shankar Prasad said that in the next five years there will be an investment of Rs 11.5 lakh crore in the electronics sector. This investment will generate 3 lakh direct jobs and 9 lakh indirect jobs. At the start of the production of these companies, exports of Rs 7 lakh crore will be done. 60 percent of mobile phones manufactured under the scheme will be exported.

The PLI scheme was announced by the Ministry of IT and Electronics in April. The scheme was to apply by July 31 to start production in India. The PLI scheme is for the manufacture of mobile phones and electronic components. The ministry had announced the formation of five foreign companies and five domestic companies in the field of manufacturing mobile phone companies in India.

Prasad said that under the PLI scheme, foreign companies will manufacture phones worth more than Rs 15,000. He said that foreign companies such as Samsung, Foxconn Honhoy, Rising Star, Wistron and Pegatron have shown interest under the PLI scheme. Three of them, Foxconn Honhoy, Wistron, and Pegatron, are contract manufacturing for Apple iPhones.

Indian companies that have shown interest in manufacturing mobile phones include Lava, Dixon Technology, Micromax, Padgate Electronics, Sojo Manufacturing Services, and Optimus Electronics. The 10 companies applying to manufacture electronics components include well-known companies such as AT&S, Ascent Circuits, Vijcon, Witsco, Neolink, Walsin, Millennium.

Prasad said that due to the arrival of mobile phone companies under the PLI scheme, the value-added work done in the country will increase from 15-20 percent to 35-40 percent. Asked about Chinese companies not applying under the PLI scheme, Prasad said that the government is not against any country, but the country’s security is also necessary.

He said that the companies who applied were being given the benefit of the scheme. But following both capital investment and security conditions are important for the application. Prasad also said that the first five domestic companies will be championed. The PLI schemes are for five years. Under this scheme, the government will give incentives worth Rs 41,000 crore. India ranks second in the world in mobile phone manufacturing. The government aims to achieve first place.