Today, the Indian IT Ministry has launched three new schemes in order to make India a global mobile manufacturing powerhouse.
Reacting to this development, Nitin Kunkolienker, President, MAIT, said: “Today’s announcement by the Government on the schemes to boost electronic manufacturing in India had been in the works for almost 2-3 months, and we applaud this initiative, which is officially active now. MAIT is delighted on the introduction of this policy, the formulation of which was deliberated aggressively with the stakeholders.
“The mobile manufacturing industry is very positive about the move and this scheme will help meet the targets under NPE 2019. This will certainly lead to companies moving their supply chains to India. To increase the job creation, component manufacturing needs to be moved too. This will not only spur manufacturing, but will make India an export-led global manufacturing hub for mobile phones.
“Also, it is imperative that the government bring the major electronics ecosystem on board through these schemes. The interruption in the global supply chain due to the pandemic gives India an opportunity to increase export-led manufacturing and broadening the scope of PLI to all other major sectors of electronics such as consumer electronics, ICT, CPE products, computers, medical electronics, etc., will be a game-changer.”
Open up opportunities
Kishan Jain, Director, Goldmedal Electricals, said: “The government’s decision to provide a boost to the electronics manufacturing sector in India is a welcome step, especially considering the current business scenario. The Electronics Manufacturing Scheme 2.0 announced by the Union Cabinet today will be inviting applications for the Rs. 50,000 crore incentive program. This initiative will open up opportunities for Indian and global electronic manufacturing companies to set up their operations and boost their capabilities within the country.
“Today’s move, coupled with earlier announced measures, such as a production-linked incentive scheme (PLI) scheme for promoting the development of electronic components, will augur well for technology-driven companies. This can be great step in our journey towards becoming an electronics manufacturing hub of the world while at the same time providing a fillip to ‘Make in India’, especially in the current phase when the Indian economy is gradually opening up.
“All of these steps will provide a much needed boost to the sector and help homegrown companies such as Goldmedal Electricals to regain our growth momentum while further expanding our business operations in a post-COVID world.”