Boost for manufacturing of compressors, copper tubing and aluminium stock for foils
Forty-two applicants with committed investment of Rs.4,614 crore have been provisionally selected as beneficiaries under the Production-Linked Incentive (PLI) Scheme, which is expected to generate net incremental production of around Rs.81,254 crore, Ministry of Commerce and Industry said in a release on 3 Nov 2021.
It said 26 of the selected applicants for Air Conditioner manufacturing have committed investments of Rs.3,898 crore and 16 for LED Lights manufacturing have committed investments of Rs.716 crore.
The investments in Air Conditioners will lead to manufacturing components across the complete value chain including components which are not manufactured in sufficient quantity in the country. At present, there is insignificant manufacturing of certain high value components of ACs like compressors, copper tubing and aluminium stock for foils.
Many other components like control assemblies for indoor units (IDU) or outdoor units (ODU), display units, brushless direct current motors, valves etc., are not manufactured in enough quantity. All these components will now be manufactured in India in significant quantities.
Similarly, LED Chip packaging, LED Drivers, LED Engines, LED Light Management Systems, PCBs including metal clad PCBs and Wire wound inductors etc., will be manufactured in India in high quantities.
Applications for the Scheme were invited from 15 June to 15 Sept 2021.
The PLI Scheme has approved 13 key sectors with total outlay of Rs.197,291 crore.
Department for Promotion of Industry & Internal Trade (DPIIT) is coordinating the implementation of all PLI Schemes. DPIIT is also the nodal department for the PLI Scheme for White Goods, Air Conditioners and LED lights sector, with an outlay of Rs.6,238 crore.
The proposal of DPIIT for the PLI Scheme for White Goods for manufacture of components and sub-assemblies of ACs and LED Lights was approved 7 April 2021.
The Scheme is being implemented over a seven-year period, from FY2021-22 to FY2028-29. #manufacturing #investment #exports #economies /fiinews.com
