New Delhi, May 6: As the government begins the exercise to create benchmarks for electronics component manufacturing, industry stakeholders on Monday said the move will contribute significantly to creating an ‘Atmanirbhar Bharat’ and building a robust supply chain to further ramp up exports. The IT Ministry has asked various stakeholders for their viewpoints, in order to formulate a production-linked incentive (PLI) scheme for the electronics component sector.

The move, said experts, will cut original equipment manufacturers’ (OEMs) dependency on countries like China and Vietnam for procuring various components and sub-assemblies for their products. "Optiemus Electronics Ltd is committed to work with the government for development of a complete electronics ecosystem in the country,” A. Gururaj, Managing Director, Optiemus Electronics, told IANS. Global Investment Firm KKR To Acquire Indian Medical Devices Company Healthium Medtech.

“We welcome the government's proposal to expand the PLI scheme to electronic component manufacturing in the country which will contribute significantly to truly creating an Atmanirbhar Bharat,” Gururaj added. The government’s move will also create thousands of direct and indirect jobs.

In the last 10 years, ever since Prime Minister Narendra Modi launched the ‘Make in India’ programme, lakhs of new jobs have been created. In electronics manufacturing alone, nearly 12 lakh new jobs have been created as electronics manufacturing reached more than $100 billion. Avneet Singh Marwah, CEO, Super Plastronics Private Limited (SPPL), told IANS that the move promises to foster domestic component manufacturing, a crucial step towards realising the ‘Make in India’ initiative.

“Currently, we heavily rely on outsourcing key electronic components from various countries. However, with the introduction of in-house manufacturing, we stand to gain two significant advantages: enhanced competitiveness through more competitive pricing and the bolstering of our supply chain infrastructure,” Marwah elaborated.

According to experts, the PLI scheme for electronics is, undeniably, a game changer. “We have witnessed a major company inaugurate its semiconductor plant, with others swiftly following suit to fortify this burgeoning ecosystem,” they added. Prabhu Ram, Head, Industry Intelligence Group at market intelligence firm CMR, told IANS that expanding the PLI scheme to electronic components manufacturing is a strategic move to address a critical bottleneck in India's domestic electronics ecosystem – its dependence on foreign suppliers. HCLTech Joins Hands With Amazon Web Services to Accelerate Adoption of Generative AI; Check Details.

“By incentivising local production, the policy will aim to boost domestic manufacturing capabilities and, over time, create a more resilient end-to-end electronics value chain with robust upstream and downstream capabilities within the country,” Ram told IANS.

(The above story first appeared on LatestLY on May 06, 2024 06:47 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).