DoT introduces design-linked incentive scheme, extends telecom PLI by 1 yr

[ad_1]


The Department of Telecom has launched an incentive scheme for design-led manufacturers and extended the duration of the Rs 12,195 crore production-linked incentive (PLI) scheme by a year, an official statement said on Monday.


The incentive for design-led manufacturing is part of the which was notified on February 24, 2021.


“With the objective to build a strong ecosystem for 5G, the Union Budget 2022-23 has proposed to launch a scheme for design-led manufacturing as part of the existing .


“After consultations with stakeholders, the guidelines for the for telecom and networking products have been amended to introduce the Design-led Manufacturing with additional incentive rates,” the statement said.


The application window will open from June 21 till July 20. The incentives will be given from the Rs 4,000 crore which is left from the total outlay.


“Further, DoT based on feedbacks from stakeholders including the selected PLI applicants, has decided to extend the existing PLI Scheme by one year. The existing PLI beneficiaries will be given an option to choose financial year 2021-22 or financial year 2022-23 as the first year of incentive.


“DoT has also approved addition of 11 new telecom and networking products to the existing list, based on suggestions from the stakeholders,” the statement added.


The Department of Telecom (DoT) had notified the PLI scheme on February 24 last year, for which a total of 31 companies, including Nokia, Foxconn, Akashastha Technologies, ITI and HFCL Group, were given approval on October 14. The approved companies have committed to make total investments of Rs 3,345 crore by 2025-26.


The companies interested in the incentive scheme will have to satisfy the minimum global revenue criteria to be eligible. The company may decide to invest for single or multiple eligible products.


The scheme stipulates a minimum investment threshold of Rs 10 crore for MSMEs and Rs 100 crore for non-MSME applicants.


Land and building cost will not be counted as investment under the scheme. The allocation for MSME has been enhanced from Rs 1,000 crore to Rs 2,500 crore.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

mail Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor



[ad_2]

Source link

Leave a Reply

Your email address will not be published.