Lok Sabha Question No. 559 (UNSTARRED), answered on 2025-07-23
Subject: PLI Scheme in Electronics Manufacturing
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Smt. Mala Rajya Laxmi Shah, Shri Tejasvi Surya, Shri Balabhadra Majhi, Shri Janardan Mishra, Shri Godam Nagesh, Shri Bhartruhari Mahtab

## GOVERNMENT OF INDIA MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA UNSTARRED QUESTION NO. 559

TO BE ANSWERED ON: 23.07.2025

## PLI SCHEME IN ELECTRONICS MANUFACTURING

## 559. SMT. MALA RAJYA LAXMI SHAH:

SHRI TEJASVI SURYA: SHRI BALABHADRA MAJHI:

SHRI JANARDAN MISHRA:

SHRI GODAM NAGESH:

SHRI BHARTRUHARI MAHTAB:

Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to state: (a)  the  manner  in  which  the  Production  Linked  Incentive  (PLI)  Scheme  has  impacted  the electronics manufacturing sector, particularly in transforming India from a net importer to a net exporter of mobile phones; and

(b) the details of growth in domestic production, export volumes and Foreign Direct Investment (FDI) in the electronics sector under the PLI Scheme?

## ANSWER

## MINISTER OF STATE FOR ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI JITIN PRASADA)

(a): Under  the  aegis  of  National  Policy  on  Electronics  (NPE)  2019,  MeitY  has  notified Production Linked Incentive Scheme (PLI) for Large Scale Electronics Manufacturing (LSEM) and Production Linked Incentive (PLI) Scheme for IT Hardware.

Government has taken various initiatives including PLI Schemes, in last ten years which resulted in establishment of a strong electronics manufacturing ecosystem in India.

Government initiatives that made such transformation include:

- Production linked incentives (PLI) for large scale electronics manufacturing
- Production linked incentives (PLI) for IT hardware
- Scheme  for  Promotion  of  Manufacturing  of  Electronic  Components  and  Semiconductors (SPECS)
- Electronics Manufacturing Clusters (EMC and EMC 2.0) Scheme
- Public  Procurement  (Preference  to  Make  in  India)  Order  2017  to  prioritize  domestically manufactured products in public procurement
- Reforms in taxation including rationalization of tariff structure, exemption on basic custom duty on capital goods, etc.
- Allowing 100% FDI in electronics manufacturing, subject to applicable laws / regulations Industry estimates that the value addition for electronics manufacturing in India has reached 1820% across various items.

PLI  Scheme  for  Large  Scale  Electronics  Manufacturing  has  significantly  impacted  Mobile manufacturing  sector  in  India  particularly  in  transforming  India  from  a  net  importer  to  a  net exporter of mobile phones. Bharat is now the second largest mobile manufacturing country in the world.

Growth of electronics goods production and exports are hereunder :

| #                                     | 2014-15                 | 2024-25                   | Remarks             |
|---------------------------------------|-------------------------|---------------------------|---------------------|
| Production of electronics goods (Rs.) | 1.9 Lakh Cr             | 11.3 Lakh Cr              | Increased 6 times   |
| Export of electronics goods (Rs.)     | 38 thousand Cr          | 3.27 Lakh Cr              | Increased 8 times   |
| Mobile manufacturing units            | 2                       | 300                       | Increased 150 times |
| Production of mobile phones (Rs.)     | 18 thousand Cr          | 5.45 Lakh Cr              | Increased 28 times  |
| Export of mobile phones (Rs.)         | 1,500 Cr                | 2 Lakh Cr                 | Increased 127 times |
| Mobile phone imported (units)         | 75% of the total demand | 0.02% of the total demand |                     |

(b): The PLI Scheme for LSEM has already attracted a cumulative investment of INR 12,390 Cr,  led  to  a  cumulative  production  of  INR  8,44,752  Cr  with  exports  of  INR  4,65,809  Cr  and generated additional employment of 1,30,330 (Direct jobs) till Jun'25.

The PLI Scheme 2.0 for IT Hardware have attracted a cumulative investment of INR 717.13 Cr, led to a cumulative production of INR 12,195.84 Cr and generated additional employment of 5,056 (direct jobs) till Jun'25.

Total FDI in field of electronics manufacturing in last 5 years (i.e. since FY 2020-21) is USD 4,071 Mn, cumulative FDI of USD 2,802 Mn has been contributed by MeitY PLI beneficiaries.

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