The Government has been ambitious in rolling out large sums for incentivising manufacturing in India. For the white goods sector also, the Cabinet has allocated a whopping amount of Rs 6238 crore.
PLI timeline for mobile phone manufacturing may begin in FY22
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A change in the timeline will mean manufacturers need to post incremental production worth Rs 4,000 crore in this fiscal year, instead of Rs 8,000 crore in the second year. They will thus be able to avail of maximum incentives worth 6% during the year, experts said.
Agencies
The Centre is looking to make the country a global manufacturing hub with an export target for phones worth $100 billion over the next five years.
The government is considering making FY22 the first year of production instead of FY21 for the production-linked incentive (PLI) scheme for mobile phone manufacturing, senior government officials said. If approved, the move will bring relief to the likes of iPhone contract makers Foxconn and Wistron besides homegrown brands
Read more about Domestic electronics sector set to grow 12-17% in FY22: CRISIL SME Tracker on Business Standard. As the economy recovers, so should discretionary spending, which again will be salutary.