Breather for electronics manufacturers as govt extends PLI by a year

Move will help mobile handset and other electronics makers impacted due to lockdowns

Finance minister Nirmala Sitharaman on Monday announced a year’s extension to the production-linked incentive (PLI) scheme for the electronics manufacturing sector.

The scheme, which was launched for five years, between 2020-21 and 2024-25, will now be valid up to 2025-26. This gives a breather to the beleaguered manufacturers who had been impacted due to repeated lockdowns in the last one year.

According to the minister, earlier manufacturers were allowed to claim six per cent incentive for incremental manufacturing during the first year, 2020-21. However, they will now have the option to choose 2021-22 as the first year of the scheme for similar