Production Linked Incentive (PLI) 2.0 for IT Hardware

Quick facts

• Purpose: To boost domestic manufacturing and attract large investments in the value chain
• Type: Central Sector Schemes
• Incentive Period: 6 years during the Scheme tenure
• Project Management Agency: Industrial Finance Corporation of India (IFCI)
  • It was launched to provide more flexibility to applicants and allow a longer duration to develop the supply chain within the country.
  • Global companies
  • Hybrid (global/domestic) companies
  • Domestic companies.

Objective

Through financial incentives boost domestic manufacturing and attract large investments in the value chain.

Salient features

Background: PLI 2.0 Scheme for IT hardware doubled the outlay while also enhancing the incentive and tenure as compared to PLI 1. 0 (launched in 2021). 3 category of applicants   Eligible Product: Goods manufactured in India and covered under target segment. Incentive shall be given on the sales of Target Segment Goods. Incentives: Around 5% on net incremental sales over base year. Monitoring: Empowered Group of Secretaries (EGoS) chaired by the Cabinet Secretary.