New Delhi: Minister of State for Electronics and IT Rajeev Chandrasekhar has stated that in the next financial year the electronics export from India may cross Rs 1.28 lakh crore. In a chat with a news agency, he said that the government will expand the manufacturing ecosystem with a new production-linked incentive scheme for hearable-wearable, IT hardware and component makers.
The industry body of electronic component makers, ELCINA has requested to allocate $10 billion (about Rs 80,000 crore) for 8 years in order to encourage manufacturing of electronic components and key modules other than semiconductors.
It has sought a four-year extension to the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS), with an increased outlay of Rs 16,000 crore in the Union Budget for 2023-24.
ELCINA feels that the upgraded PLI will attract investments of around Rs 64,000 crore with a targeted output of USD 24 billion (about Rs 1.95 lakh crore) for all components except semiconductors.
The industry body has also sought reinstatement of income tax relief for the investment made in research and development.
It has also asked for a PLI scheme with a focus on domestic electronics manufacturing services companies.
India Electronics and Semiconductor Association (IESA) has requested the government to convert the PLI scheme into a design-led manufacturing scheme and impose an import duty of 10 per cent on any imported electronics equipment and assembled printed circuit board (PCB) to boost local manufacturing.
