Lok Sabha Question No. 247 (STARRED), answered on 2023-12-20
Subject: DLI and PLI Schemes
Ministry: COMMUNICATIONS
Asked by: Bhola Singh, Vinod Kumar Sonkar

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA STARRED QUESTION NO. 247 TO BE ANSWERED ON 20 TH  DECEMBER, 2023

## DLI AND PLI SCHEMES

## *247.   SHRI BHOLA SINGH: SHRI VINOD KUMAR SONKAR :

Will the Minister of COMMUNICATIONS be pleased to state:

- (a) whether the Ministry has received  applications  under  the  Design-Linked  Incentive  (DLI) Scheme and Production Linked Incentive (PLI) Scheme;
- (b) if so, the details thereof including number of applications received, amount of investment, employment created, production and sales done so far, year-wise;
- (c) whether the Government has been able to succeed through Production Linked Incentive (PLI) Scheme that promotes telecom and networking products manufacturing;
- (d) if so, the details thereof, year-wise; and
- (e) the  other  steps  being  taken  by  the  Government  for  effective  implementation  of  these schemes?

## ANSWER

## MINISTER OF RAILWAYS, COMMUNICATIONS AND ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI ASHWINI VAISHNAW)

- (a) to (e) A statement is laid on the Table of the House.

## STATEMENT TO BE LAID ON THE TABLE OF LOK SABHA IN RESPECT OF PARTS (a) TO (e) OF THE LOK SABHA STARRED QUESTION NO. 247 FOR 20 TH  DECEMBER, 2023 REGARDING 'DLI AND PLI SCHEMES.'

(a)  to  (e)  Government  is  committed  to  develop  entire  electronics  and  telecom  manufacturing ecosystem  in  India.  To  develop  telecom  technologies  and  promote  manufacturing,  multiple initiatives have been taken. These are enumerated as follows:

## PLI in telecom sector:

Production Linked Incentive (PLI) Scheme for Telecom and Networking Products was launched in June, 2021. Within a short span, it has catalyzed production of telecom equipment in India. The details are as follows:

-  Total of 33 telecom and networking products.
-  Incentives ranging from 4 to 7%.
-  Additional 1% incentive for MSMEs for first 3 years.
-  Additional 1% incentive for products 'Designed in India'.
-  Total 42 applicant (attached as Annexure) companies including 28 MSMEs.
-  Total financial outlay:  Rs. 12,195 Crore.

Achievements of PLI in telecom sector till date:

|                              | Total commitment applicants   | Progress till 31 st October, 2023   |
|------------------------------|-------------------------------|-------------------------------------|
| Investment                   | 4,014 Cr                      | 2,725 Cr                            |
| Incremental Sales            | 2,37,807 Cr                   | 38,999 Cr                           |
| Additional direct employment | 44,494                        | 15,561                              |

-  Under telecom PLI scheme, products worth Rs 8,804 Crore have been exported till date.
-  As on date, Rs. 34.97 Crore has been disbursed under the PLI Telecom Scheme for FY 2021-22. TTDF:
-  Government launched Telecom Technology Development Fund (TTDF) Scheme on 01.10.2022.
-  TTDF is aimed at funding research and development of technologies, products, and services for providing telecom services in rural and remote areas.
-  More than 405 applications have been received under TTDF scheme from Start-ups, MSMEs, Academia, etc. After due assessment, 8 applications with a total outlay of Rs. 266.05 Crore has

been approved so far. These include setting up Advanced Optical Communications Test Bed and 6G Tera Hertz Test Bed with Orbital Angular Momentum and Multiplexing.

## DCIS Scheme:

-  Government  has  launched  Digital  Communications  Innovation  Square  (DCIS)  Scheme  to promote and support translation of innovative ideas and knowledge by Start-ups/MSMEs.
-  Government has supported more than 96 start-ups/MSMEs till date with Rs. 74.7 Crore as grant-in-aid under this scheme.
-  These  innovators  are  working  on  backhaul  radio  and  communication  technologies,  LTE Advanced,  5G/6G  and  future  generation  access  technologies,  Software  Defined  Networks (SDNs) etc.

## Made in India 5G:

-  India has witnessed one of the fastest roll-out of 5G anywhere in the world with more than 4 Lakh sites commissioned in less than 14 months.
-  A significant amount of equipment used in roll-out of the 5G is 'Made in India'.

## Developing indigenous 5G

-  Under Atmanirbhar Bharat, indigenous 4G/5G telecom stack has been developed and is under deployment in BSNL network.

## Developing ecosystem:

Government  of  India's  goal  is  to  broaden  and  deepen  the  country's  electronic  manufacturing ecosystem as well as increase India's participation in electronics Global Value Chains (GVCs).

Government has taken several measures to boost electronics manufacturing. They include:

-  Production Linked Incentive Schemes (PLI LSEM and PLI IT Hardware).
-  Scheme  for  Promotion  of  Manufacturing  of  Electronic  Components  and  Semiconductors (SPECS).
-  Modified Electronics Manufacturing Clusters 2.0 (EMC 2.0).
-  Further, a program for Development of Semiconductors and Display manufacturing Ecosystem was also introduced, wherein, schemes, viz., Scheme for setting up of Semiconductor and Display Fabs, Scheme for setting up of Compound Semiconductors / Silicon Photonics / Sensors Fab / Discrete Semiconductors Fab and Semiconductor Assembly, Testing, Marking and Packaging (ATMP) / Outsourced Semiconductor Assembly and Test (OSAT) and Design Linked Incentive (DLI) Schemes are being implemented.

## Impact of Government initiatives:

-  As  a  result  of  these  measures  the  domestic  production  of  electronic  items  has  increased significantly from Rs 1,80,454 Crore (USD 29.8 Billion) in 2014-15 to Rs. 8,22,350 Crore (USD 102 Billion) in 2022-23.
-  Further,  construction  on  first  semiconductor  unit  under  the  Semicon  India  program  has commenced in Sanand, Gujarat.
-  A  prominent  semiconductor  company  has  started  its  largest  semiconductor  design  centre  in Bengaluru.
-  Another prominent semiconductor company has collaborated with Indian Institute of Science to train a large pool of engineers conversant in semiconductor technologies.
-  Further, Mobile production has increased from Rs 18,900 Crore in 2014-15 to Rs 3,50,000 Crore in 2022-23. From about 78% import dependence in 2014, India has reached a stage where 99.2% of all mobiles sold in India are 'Made in India'.

## Annexure

## Details of Companies approved under PLI Scheme of Telecom and Networking Products

|   S.No. | Name of the Applicant                                      |
|---------|------------------------------------------------------------|
|       1 | Alphion India Private Limited                              |
|       2 | Candid Optronix Pvt Ltd                                    |
|       3 | Coral Telecom Limited                                      |
|       4 | Design and Manufacturing Vista Electronics Private Limited |
|       5 | Frog Cellsat Limited                                       |
|       6 | Go IP Global Services Private Limited                      |
|       7 | Kaynes International Design &Manufacturing Private Limited |
|       8 | Lekha Wireless Solutions Pvt Ltd                           |
|       9 | Matrix Comsec Private Limited                              |
|      10 | Samriddhi Automations Private Limited                      |
|      11 | Sansap Technology Private Limited                          |
|      12 | Vihaan Networks Limited                                    |
|      13 | Dixon Electro Appliances Private Limited                   |
|      14 | HFCL Limited                                               |
|      15 | ITI Limited                                                |
|      16 | Tejas Networks Limited                                     |
|      17 | VVDN Technologies Private Limited                          |
|      18 | Ehoome IOT Private Limited                                 |
|      19 | Elcom Innovations Private Limited                          |
|      20 | GDN Enterprises Private Limited                            |
|      21 | GX India Private Limited                                   |
|      22 | Huber + Suhner Electronics Private Limited                 |
|      23 | Netlink ICT Pvt Ltd                                        |
|      24 | Netweb Technologies India Pvt. Ltd.                        |
|      25 | Panache Digilife Limited                                   |
|      26 | Priyaraj Electronics Limited                               |
|      27 | Sixth Energy Technologies Private Limited                  |

|   S.No. | Name of the Applicant                              |
|---------|----------------------------------------------------|
|      28 | Skyquad Electronics and Appliances Private Limited |
|      29 | Surbhi Satcom Private Limited                      |
|      30 | Synegra EMS Limited                                |
|      31 | Systrome Technologies Private Limited              |
|      32 | Tecniqua India Private Limited                     |
|      33 | Tianyin Worldtech India Private Limited            |
|      34 | Commscope India Private Limited                    |
|      35 | Flextronics Technologies (India) Private Limited   |
|      36 | Jabil Circuit India Private Limited                |
|      37 | Neolync Tele Communications Private Limited        |
|      38 | Nokia Solutions And Networks India Private Ltd     |
|      39 | Rising Stars Hi-Tech Private Limited               |
|      40 | Samsung India Electronics Pvt Ltd.                 |
|      41 | Sanmina-Sci India Private Limited                  |
|      42 | Syrma SGS Technology Limited                       |

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