Cabinet approves Rs 76,000 Manufacturing Linked Incentive (PLI) Program for Semiconductor Manufacturing
The government has approved a plan to encourage manufacturing linkages (PLI) for domestic production of semiconductor and display panels, Anurag Thakur, Minister of Information and Television (I&B) said today during a meeting. Cabinet. The Union Cabinet chaired by Prime Minister Narendra Modi has approved a PLI plan involving Rs 76,000 crore spending in semiconductor manufacturing over the next 5-6 years. As part of the program, the offers cover every part of the supply chain, from electronic components and sub-assemblies to finished goods.
According to the statement, an incentive grant of approximately Rs 55,392 crore is approved under the PLI for large scale electronics manufacturing, the PLI for IT hardware, the SPECS program and the modified electronics manufacturing cluster (EMC) program. 2.0), according to the statement.
Additionally, PLI offers of around Rs 98,000 crore are approved for allied sectors including ACC batteries, auto components, telecommunications and networking products, solar PV modules and white goods. Overall, the government has committed to monetary support of Rs. 2,30,000 crore to position India as a global hub for electronics manufacturing with semiconductors underpinning it, according to a Cabinet statement today.
Telecommunications and IT Minister Ashwini Vaishnaw said the decision will help design, fabricate, package and test microchips and develop a complete ecosystem. The scheme aims to provide incentives for companies engaged in the field of silicon semiconductors, display glasses, semiconductor packaging, semiconductor design, etc.
India, the world’s second-largest smartphone maker, announced the plan at a time when automakers and tech companies are struggling due to a global shortage of semiconductors.
According to Reuters news agency, Tata Corporation is also entering this business and is in talks with three states to invest up to 300 million USD to set up a unit to assemble and test semiconductors.
