Cabinet approves PLI scheme for telecom equipment | Best Defence Coaching

Cabinet approves PLI scheme for telecom equipment

In an important decision on 17 February 2021, the Union Cabinet approved the Production Linked Equipment (PLI) scheme for telecom equipment worth Rs 12,195 crore. Union Minister Ravi Shankar Prasad gave this information on 17 February 2021.

The government hopes that this scheme will produce Rs 2,44,200 crore of telecom equipment in the country in the next five years. The minister said that soon the government will come up with the PLI scheme to encourage the production of laptops and tablets.

According to Union Minister Ravi Shankar Prasad, the Cabinet has approved the PLI scheme for the manufacture of telecom equipment worth Rs 12,195 crore. The government hopes that this scheme will produce 2,44,200 crore worth of telecom equipment in the country in the next five years. This will generate 40,000 direct and indirect jobs, export of Rs 1.95 lakh crore and tax revenue of Rs 17000 crore.

The government release stated that the eligibility of the scheme would be subject to the achievement of the minimum limit of cumulative incremental investment and net sales of manufactured goods. The financial year 2019-20 will be considered as the base year for calculating the cumulative incremental sales of net of taxes.