According to Union IT and Electronics Minister Ashwini Vaishnaw, the Indian government has started collaborating with smartphone manufacturers to develop the next stage of the Production-Linked Incentive (PLI) program. The minister stated that the goal is to raise the percentage of locally produced components in cellphones and other important gadgets to 35–40% over the course of the next few years during a media interview on the fringes of an event here. He claimed that additional investments anticipated under ECMS 2.0 and the 24 electronics component projects authorized under the current program will significantly increase domestic value addition.
The minister claims that as more components begin to be produced entirely in India, this expansion will occur gradually. “We anticipate a strong level of local value creation. By the time electrical components begin to be fully made, I believe we’ll be in the 35–40% range,” Vaishnaw told reporters. Additionally, Vaishnaw reaffirmed that the government intends to develop and produce 30 strategic chipsets domestically. The minister affirmed that industry players are working on PLI 2.0 for smartphones. The current program, which concludes this fiscal year, is generally regarded as the most effective of India’s incentive initiatives.
It has helped India become a significant hub for the production of smartphones and attracted large international manufacturers. The momentum has been applauded by industry leaders. According to ICEA Chairman Pankaj Mohindroo, India is about to enter a new stage of development. “We can control the market after we have mastered the machines. The Prime Minister’s goal of $500 billion in electronics manufacturing will be accelerated by ECMS, which will establish globally competitive Indian champions in all major product verticals and anchor global value chains in India. We are totally dedicated to bringing forward India’s next industrial revolution,” Mohindroo said.
