One of the most anticipated announcements for Budget 2023 was the expansion of the government’s Production-Linked Incentive (PLI) scheme to newer sectors including toys, leather, renewable energy and a few more. However, there was no mention of the PLI scheme in Finance Minister Nirmala Sitharaman’s Budget speech.
The central government introduced the PLI scheme for 14 sectors, with a total incentive outlay of Rs 1.97 lakh crore. In March 2020, the scheme was announced for three sectors, followed by an additional 10 in November. Last September, the scheme was also extended to the drone and drone component sector. As per the Economic Survey, by December 31, 2022, 717 applications have been approved under 14 schemes. More than 100 MSMEs are among the PLI beneficiaries in sectors including mobile manufacturing, manufacturing of medical devices, automobiles and auto components, pharmaceuticals, drugs, specialty steel, drones, and drone components.
I feel that the government is now going to broaden and widen the electronics manufacturing ecosystem with a new production-linked incentive scheme for hearable-wearable, IT hardware and component makers. There has been a focus on mobile phones because it is the fastest-growing segment in electronics across the world.
Implications on Manufacturing
The Manufacturing sector is going to be on the rise as the Budget 2023 is set to increase domestic value addition in mobile phone manufacturing, customs on import of specific components and inputs such as camera lenses could be reduced while continuing concessional duty on lithium-ion cells for batteries for another year.
This way the Indian manufacturing will get a boost. The Indian manufacturing sector anticipates promoting R&D and provide incentives for the local manufacturers.
Moreover, the companies in the manufacturing space should be rewarded for bringing up new technologies and adopting sustainable business practices. We feel that if Indian government gives the adequate support to the manufacturers, then in some years India will also become the export hub.
CallOne is one of the leading and fastest-emerging suppliers of a world-class range of mobile phone accessories. CallOne is one of the few companies which is thriving on Make in India, thereby creating a robust ecosystem. The brand was incepted 10 years back with a vision to provide highly innovative products as per the needs of the customers. The main vision of the company is to be agile, nimble, and highly customer-centric and to provide the best quality products in all categories to consumers. CallOne has the aim of boosting Make in India.
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