28 MSMEs approved for telecom PLI scheme: Govt | The Financial Express

28 MSMEs approved for telecom PLI scheme: Govt

Ease of doing business for MSMEs: Till October 2021, 31 companies, comprising 16 MSMEs and 15 Non-MSMEs including 8 domestic and 7 global companies were given approval.

28 MSMEs approved for telecom PLI scheme: Govt
The scheme was notified by the Department of Telecom in February last year with a financial outlay of Rs 12,195 crores.

Ease of doing business for MSMEs: The Communications Ministry on Monday announced granting approval to 42 companies including 28 MSMEs for the production-linked incentive (PLI) scheme for telecom and networking products. This included 17 companies that applied for an additional incentive of 1 per cent under the design-led manufacturing criteria. The 42 companies have committed investments of Rs 4,115 crores which is likely to generate additional sales of Rs 2.45 lakh crores and more than 44,000 jobs over the scheme’s period. 

Till October 2021, 31 companies, comprising 16 MSMEs and 15 Non-MSMEs including 8 domestic and 7 global companies were given approval. The scheme was notified by the Department of Telecom in February last year with a financial outlay of Rs 12,195 crores. It was amended in June this year — to make manufacturing design-led with an additional incentive rate of 1 per cent over and above the existing incentives for products that are designed in India — after the government proposed to make design an intrinsic part of the scheme in the budget.

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The ministry in a statement noted that the existing companies under the scheme for telecom and networking products were allowed to add more products and apply under the design-led scheme. The beneficiaries were also offered the benefit of shifting their 5-year PLI scheme period by one year as they could choose between FY22 or FY23 as the first year of incentive. 22 companies had availed of this offer including 13 enterprises which applied as fresh applicants. 

The scheme for telecom and networking products stipulated a Rs 10 crore minimum investment for MSMEs and Rs 100 crore for non-MSMEs to apply for the same. The eligibility was also subject to incremental sales of manufactured goods covered under the scheme’s target segments over the base year of FY20.

Among the beneficiaries under the scheme were Alphion India, Candid Optronix, Coral Telecom, Design and Manufacturing Vista Electronics, Ehoome IOT, Elcom Innovations, Frog Cellsat, GDN Enterprises, GO IP Global Services, GX India, Kaynes International Design & Manufacturing, Samriddhi Automations, Skyquad Electronics and Appliances, Tianyin Worldtech India, Dixon Electro Appliances, Nokia Solutions and Networks India, Neolync Tele Communications, etc., according to the ministry.

Also read: Small finance banks’ capital raising challenge beginning to ease; over Rs 3,200 cr raised in Q2 FY23: CareEdge 

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First published on: 31-10-2022 at 05:33:46 pm
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