NEW DELHI: Nineteen companies including LG Electronics, Mitsubishi Electric, Adani Copper Tubes, Jindal Poly films, Crompton Greaves, Wipro, Zeco Aircon, Starion India and Swaminathan Enterprises have applied for Production Linked Incentive (PLI) scheme for the white goods - ACs and LED lights- in the second round of applications.
They commited an investment of Rs 1,548 crore, the government said on Tuesday. These companies include eight for AC components and 11 companies for LED lights. “Over the next 5 years, these 19 companies are expected to achieve production of nearly Rs 26,880 crore of components of ACs and LED lights and generate direct employment of 5,522 persons. Applications have been filed for production of components, which are not manufactured in India presently with sufficient capacity,” the statement said.
The government said the scheme will bring investment in component manufacturing eco-system of ACs and LED lights industry to the tune of Rs 7,074 crore and generate nearly 2 lakh direct and indirect employment opportunities. The scheme is expected to lead to total production of components of ACs and LEDs in India of about Rs 1,07,134 crore.
The PLI Scheme extends an incentive of 6% to 4% on reducing basis on incremental sales for a period of five years subsequent to the base year and one year of gestation period. Domestic value addition is expected to grow from the current 15-20%to 75-80%. EARLIER, Union Cabinet had given nod to the scheme for white goods, to be implemented over FY 2021-22 to FY 2028-29 with an outlay of `6,238 crores on April 07, 2021.