Union Minister Ashwini Vaishnaw announced on Saturday that the Indian Government has granted approval to a total of 27 firms that include Dell, Foxconn, Lenovo and HP under the new IT Hardware Scheme.
“I am happy to announce that 27 companies have been approved under the PLI IT hardware scheme. About 95 per cent of these…23 companies are ready to start manufacturing from day-zero,” said Vaishnaw.
The 27 firms together will invest Rs.3000 crore. “This will set us up for being a big force in manufacturing of PCs, servers, laptops, and tablets,” he added.
There has been interest shown from as many as 40 companies that include the aforementioned ones who have applied for the IT hardware PLI scheme. The commitment is to manufacture personal computers, laptops, tablets, servers as well as other equipment worth a total of Rs. 4.64 lakh crore during the period of the scheme.
The applicants had projected incentives of Rs. 22890 crore as compared to the budget allotment of Rs. 17000 crore.
The IT hardware PLI scheme is expected to create employment for over 2 lakh people. Out of this, 50000 will be directly employed and the remaining 1.5 lakh will be indirectly employed.
This scheme is a large push in the direction of local manufacturing as the Govt is restricting imports due to security concerns as well as a move to nudge companies to manufacture locally.