Proposed investments under the PLI scheme in the automotive industry exceed the projection
In contrast to the objective estimate of investment of Rs 42,500 crores, the Production-Linked Incentive Scheme for Automobile and Auto Components has been able to generate a planned investment of approximately Rs 67,690 crores over a period of five years.
Under the PLI program, 115 firms in all have submitted their applications. On September 23, 2021, the plan and its rules were announced.
85 out of 115 applications have been approved, including 67 for the Component Champion Incentive Scheme and 18 for the Champion Original Equipment Manufacturing Incentive Scheme. According to the Ministry of Heavy Industries' year-end review statement on Thursday, two car OEM businesses have been given the go-ahead to participate in both parts of the program.
Corporate organizations from the Republic of Korea, the US, Japan, France, Italy, the UK, and the Netherlands are among the organizations that have been approved applicants under the PLI program in addition to Indian business organizations.
The reaction, which the government described as "overwhelming shows that Industry has reposed its trust in India's remarkable rise as a world-class manufacturing destination and strongly resonates with Prime Minister Modi's clarion cry of Atma Nirbhar Bharat - a self-reliant India."
As part of its Atmanirbhar plan, the Government launched Production Linked Incentive (PLI) schemes in varied sectors to make Indian manufacturers globally competitive, attract investments, enhance exports, integrate India into the global supply chain and reduce dependency on imports.
