How to Apply for the PLI Scheme for Telecom and Networking Products in India?

The PLI Scheme is designed to provide financial incentives aimed at stimulating domestic manufacturing and attracting investments in Telecom and Networking Products. The Scheme has the potential to result in incremental production worth approximately ? 2.4 lakh crores over the course of 5 years, while generating exports of around ? 2 lakh crores. The Scheme is expected to draw in investments worth around ? 3,000 crores, and create a significant number of direct and indirect jobs, aligning with the broader goal of Make in India. To learn more about the features and eligibility – CLICK HERE.
 

Why Apply for the PLI Scheme?

 
Apart from the financial benefits, the recipients of the incentives under the PLI Scheme are also able to enjoy the following perks:
 

• The recipients are forced to adopt advanced technologies, which can help them improve their production processes, achieve higher value addition, and compete more effectively with global players in the industry.
• Recipients are incentivised to increase their exports, thereby increasing foreign exchange earnings and promoting India's reputation as a reliable supplier of quality telecom and networking products.

 

What are Some Key Obligations as a Recipient of the PLI Scheme?

 
Under the PLI Scheme, the manufacturers are expected to fulfil certain obligations in order to remain eligible for complete benefits of the scheme and avoid penalties which may also impact the company’s reputation.
 

• Recipients of PLI benefits are required to achieve specific production targets within the specified period as per the Scheme guidelines. The production targets are set to ensure that the Scheme's objectives are met and that there is a significant increase in the domestic production of telecom and networking products.
• Recipients are forced to invest in research and development activities to promote innovation and enhance the competitiveness of the domestic telecom and networking sector. Companies must allocate a minimum percentage of their sales revenue towards R&D activities, as specified in the Scheme guidelines.
• Recipients must adhere to quality standards specified by the government, such as the Bureau of Indian Standards (BIS) or international standards. This is to ensure that the products manufactured in India are of high quality and meet the requirements of both domestic and global customers.
• Recipients must provide regular progress reports and other relevant information to the concerned government authority. This helps the government to monitor the progress of the Scheme and ensure that the recipients are meeting their obligations.
• Recipients must comply with relevant environmental regulations and adopt sustainable production practices to minimize their impact on the environment.

 

How To Pitch for the PLI Scheme?

 
A manufacturer may need to provide a convincing pitch to the authorities in order to enjoy the benefits of the PLI scheme for Telecom and Networking Products in India. Here are some essential steps to pitch for the PLI scheme in drone:
 

• Research the PLI scheme for drones: Before you pitch for the PLI scheme, make sure to understand the objectives, requirements and eligibility of the scheme.
• Highlight your company's capabilities: It is important to highlight your company's experience, expertise, and capabilities in the field of Telecom and Networking Products. It is important to share the company's track record, production capacity, and quality standards to demonstrate your ability to meet the production targets under the PLI scheme
• Present your investment and production plans: The PLI scheme for Telecom and Networking Products is designed to encourage investments in its manufacturing in India. Therefore, clearly presenting investment plans, including the amount of investment, the sources of funding, and the timeline for investment is necessary. Also, a clear outline of the production plans and plan to achieve the targets can be beneficial.
• Emphasise the benefits of the PLI scheme: Highlighting the benefits of the PLI scheme for Telecom and Networking Products and how it will help you scale up your manufacturing operations is important.

 

Process of Application and Disbursement of Incentives

 
The Production-Linked Incentive (PLI) scheme for Telecom and Networking Products is an initiative by the Indian government to promote its manufacturing in India. To apply for the PLI scheme for Telecom and Networking Products, an eligible manufacturer may follow the following steps:
 

1. Register on the PLI portal: You can visit the PLI portal (https://pli-eda.gov.in/) and create an account by providing your basic details.

2. Fill in the application form: The application form may require you to provide details such as your company name, address, production targets, investment plans, etc.
3. Upload the required documents: You may also need to upload certain documents such as company registration certificate, PAN card, GST registration, etc.
4. Submit the application: After filling in the application form and uploading the required documents, you can submit your application for the PLI scheme for drones.
5. Wait for approval: Once you have submitted your application, it will be reviewed by the PMA. If your application is approved, the incentives shall disburse after completion of all pre-disbursal formalities.

 
Companies that receive PLI benefits are required to fulfil specific obligations related to production targets, investment in R&D, quality standards, timely reporting, and compliance with environmental regulations. By doing so, they help the government to achieve the Scheme's objectives and promote India's position as a reliable supplier of quality telecom and networking products.