Schedule a Call Back
Govt plans PLI Scheme updates, boosting sectors like pharma, drones, textiles
Industry News- Sep 21,23
Additionally, the official disclosed that the disbursement of PLI incentives for white goods, including air conditioners and LED lights, is set to commence this month.
According to an unnamed government official, there are plans to modify the production-linked incentive (PLI) scheme for the pharmaceuticals, drones, and textiles sectors in order to stimulate investment and bolster manufacturing. These sectors were chosen following consultations between different ministries to assess the scheme's effectiveness across various product categories.
Additionally, the official disclosed that the disbursement of PLI incentives for white goods, including air conditioners and LED lights, is set to commence this month. This development is expected to significantly increase the disbursement amount, which had reached only Rs 2,900 crore by March 2023.
The PLI scheme was initially introduced in 2021, encompassing 14 sectors such as telecommunications, white goods, textiles, medical device manufacturing, automobiles, speciality steel, food products, high-efficiency solar PV modules, advanced chemistry cell batteries, drones, and pharmaceuticals, with a total outlay of Rs 1.97 lakh crore.
The official stated, "We have identified the sectors and are preparing a combined proposal for approval by the Union Cabinet. The proposed changes include extending the timeline for the pharmaceutical sector and incorporating additional products in certain sectors. In textiles, we aim to broaden the definition of specific products within the technical textiles segment, while in the drone sector; we intend to increase the incentive amount."
The total allocation for the PLI scheme for drones and drone components is Rs 120 crore, spread over three financial years. A senior official from the Ministry of Commerce and Industry had previously highlighted the need for adjustments or modifications to underperforming PLI schemes.
Sectors such as high-efficiency solar PV modules, advanced chemistry cell (ACC) batteries, textile products, and speciality steel have faced challenges in uptake, while others, including electronics, pharmaceuticals, medical devices, telecom, food processing, and white goods, have performed well under the scheme.
The government is actively addressing issues such as the timely processing of claims, visa-related matters requiring expertise from Chinese professionals, and delays in obtaining environmental clearances, which have been raised by stakeholders involved in the PLI schemes.
The primary objective of the PLI scheme is to attract investments in critical sectors and cutting-edge technologies, enhance efficiency, achieve economies of scale in the manufacturing sector, and make Indian companies and manufacturers globally competitive. These schemes for all 14 sectors have been officially notified by the respective ministries and departments following due approval and are in various stages of implementation.
The government anticipates disbursing approximately Rs 13,000 crore to eligible firms seeking benefits under these schemes.
Source: Business Standard
Keywords – Air Conditioners, LED lights, Pharmaceuticals, Drones, Textiles, PLI scheme, Ministry of Commerce and Industry, advanced chemistry cell (ACC) batteries
Section – Miscellaneous industries supply
India surpasses 1 mn EV sales in just 9 months, driven by growth factors
Intro – According to data from the Vahan Dashboard of the Ministry of Road Transport and Highways, a total of 1,037,011 EVs were registered with regional transport offices by September 19, constituting 6.4% of the nation's total automobile sales for the year.
In 2023, India achieved a remarkable milestone in the electric vehicle (EV) industry by surpassing one million EV sales in under nine months, a feat that had taken a full year in 2022. According to data from the Vahan Dashboard of the Ministry of Road Transport and Highways, a total of 1,037,011 EVs were registered with regional transport offices by September 19, constituting 6.4% of the nation's total automobile sales for the year.
This surge in EV sales can be attributed to a combination of increased individual purchases and substantial business-to-business (B2B) acquisitions by EV fleet operators, as indicated by industry sources. Furthermore, the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME-II) initiative and the expansion of charging infrastructure have played pivotal roles in driving the adoption of EVs.
Preetesh Singh, a specialist in CASE (Connected, Autonomous, Shared, Electric) and alternate powertrains at NRI Consulting and Solutions, highlighted that the growth of the EV industry was also fuelled by the introduction of high-quality vehicles, along with the availability of tax incentives, improved financing options, and a robust vehicle swapping facility.
Breaking down the sales by vehicle type, two-wheelers constituted the largest portion, accounting for 56% of all EVs sold in 2023, followed by three-wheelers and passenger vehicles.
Throughout the year 2023, monthly EV sales consistently exceeded 100,000 units. The pinnacle of this achievement occurred in May, with a record-breaking sale of 158,374 vehicles.
Although the impact of subsidy reductions under the FAME-II program was most noticeable in June, leading to a 35% decline with sales dropping to 102,447 units, the industry began its recovery in July. By August, with 126,741 units sold, sales had rebounded significantly, marking a 23% increase from the June levels.
Source: Business Standard
India
EV sales
FAME-II
Preetesh Singh
CASE (Connected
Autonomous
Shared
Electric)
Vahan Dashboard
Ministry of Road Transport and Highways
Related Stories
Other Industrial Products
India navigates green steel transition amidst European scrutiny
This move is anticipated to impact Indian steel exporters, particularly those reliant on environmentally damaging coking coal for furnace operation.
Read moreOther Industrial Products
India's circular economy set to reach $2 tn by 2050, creating 10 mn jobs: CII roadmap
In this roadmap, the CII and various industry stakeholders advocate for the establishment of a new entity called the National Circular Economy Authority (NCEA).
Read moreProcess Equipment
India's green hydrogen initiative garners interest, major players sit out initial subsidy auction
Initiative attracted interest from companies such as Sembcorp Industries, JSW Energy, and AM Green, while major players like Acme Solar Holdings, Avaada Group, NTPC, and Adani Enterprises opted out ..
Read moreRelated Products
Tata Motors unveils facilities for development of Hydrogen propulsion tech
AUTO COMPONENTS & ACCESSORIES
Tata Motors, India?s largest automobile company, unveiled two state-of-the-art & new-age R&D facilities for meeting its mission of offering sustainable mobility solutions. The unveilings constitute of Read more
Tata Motors plans petrol powertrain for Harrier and Safari SUVs
AUTO COMPONENTS & ACCESSORIES
Tata Motors is in the process of developing a new petrol powertrain for its premium sports utility vehicles, the Harrier and Safari, as confirmed by a senior company official. Currently, these models Read more
Electric Vehicle Charger
AUTO COMPONENTS & ACCESSORIES
RRT Electro is engaged in manufacturing of customized Power Electronic Products over two decades having capability to Design, Develop, Prototyping, Regulatory Compliance testing & Certification, Manuf Read more
latest News
Subscribe to iNoW
For Industry News on WhatsApp, Give a Miss Call on: +91 84228 74016
