Since its inception, Prime Minister Narendra Modi's central government's production-linked incentive (PLI) scheme has sparked interest. The World Bank recently stated that it will assist India's economy in growing at 8.7 percent in the next fiscal year 2022-23, outpacing major growing economies such as China.
According to the Global Economic Prospects report, India's growth will be 8.7 percent in fiscal year (FY) 2022-23 and 6.8 percent in fiscal year (FY) 2023-24. According to the World Bank, the report reflects an improving investment outlook, with private investment, particularly manufacturing, benefiting from the PLI Scheme and increases in infrastructure investment.
"We are determined to take all necessary steps to bring India to Atmanirbhar." The government has taken several steps as part of the Make in India initiative. "The conceptualization of the PLI scheme has been one of the most significant steps," said Anil Agrawal, Additional Secretary, Department of Promotion of Industry and Internal Trade (DPIIT).
Agrawal went on to say that this has become a cornerstone of India's efforts to improve global quality manufacturing processes. He was also pleased with how these schemes are being conceptualized in the country.
"The response from the industry has been tremendous," he said of the schemes and industry. “If you look at any of the 13 PLI schemes that have been implemented across 13 sectors, you will see that we have 13 PLI schemes where the government has announced a total incentive of about 1 lakh 97 thousand crores over the period of five to seven years."
He also discussed the relationship between policymakers and industry, stating that both parties worked closely from the formulation stage. Our requirements and schemes are transparent, so we trust each other and create a system that allows things to run smoothly, he explained.
"We completed all approvals and applications within one year of starting in 2020. We have already begun investing today. In more than 50 locations across the country, 42 companies are investing in AC and LEDs,” Agrawal stated.
He cited data and stated that a Rs 370 crore investment had already been reported. As a result, the scheme is on the right track.
The central government launched the PLI scheme in March 2020 to boost production and exports by providing Rs 1.97 lakh crore in incentives over five years to 13 key sectors such as electronics, telecom, auto parts, advanced batteries, pharmaceutical drugs, and solar energy components.
