PLI Scheme spurs 500,000 jobs in mobile industry: Minister

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PLI Scheme spurs 500,000 jobs in mobile industry: Minister

PLI Scheme spurs 500,000 jobs in mobile industry: Minister

Industry News
Dec 04,23

Speaking at the inauguration of Padget Electronics' Rs 256 crore smartphone manufacturing facility in Noida, Uttar Pradesh, Ashwini Vaishnaw expressed confidence in the development of the electronic components ecosystem.

PLI Scheme spurs 500,000 jobs in mobile industry: Minister

The Union Minister of Electronics and IT, Ashwini Vaishnaw, announced that the government's Production-Linked Incentive (PLI) scheme has resulted in the creation of 500,000 incremental jobs in the mobile phone industry. Addressing critics who argue that the mobile phone manufacturing in the country is merely assembly and not true manufacturing, Vaishnaw stated that such critics lack an understanding of manufacturing processes.

He dismissed opposition voices, including some prominent economists, asserting that the industry has disregarded their negative perspectives and has progressed swiftly. Speaking at the inauguration of Padget Electronics' Rs 256 crore smartphone manufacturing facility in Noida, Uttar Pradesh, a wholly-owned subsidiary of Dixon Technologies, Vaishnaw expressed confidence in the development of the electronic components ecosystem within the country. He predicted that India would emerge as a significant exporter of electronic components within the next three to four years.

The PLI scheme, launched by the central government in 2020 for mobile phones and specific electronic components, aims to position India as a key hub for electronics manufacturing. Dixon Technologies, the largest indigenous electronics manufacturing services provider in India, announced in a statement that it commenced smartphone manufacturing for the Chinese device maker Xiaomi in the third quarter of the calendar year 2023 at its new Noida unit.

Vaishnaw highlighted that the new manufacturing unit, spanning 2,27,000 square feet and built with an investment of Rs 256 crore, has an annual production capacity of 25 million units. Approximately 5,000 individuals are expected to be employed for manufacturing smartphones and feature phones on a large scale at this facility.

Taking a swipe at previous Congress-led governments, Vaishnaw claimed that during their tenure, the manufacturing sector was neglected, ignored, and discouraged as a policy. However, under the Make In India initiative launched by Prime Minister Narendra Modi, he asserted that numerous regulations hindering manufacturing were eliminated, with more than 20,000 compliances and nearly 1,500 archaic laws being repealed. He emphasised that consultations were held with the industry to address production and job creation challenges, leading to their resolution.

Source: The Print