Government has approved production-linked incentive scheme for auto industry, auto-component industry, drone industry to enhance India’s manufacturing capabilities
Take a look: pic.twitter.com/ydhXtbsHVJ
— DD News (@DDNewslive) September 15, 2021
-Production Linked Incentive (PLI) Scheme for Auto and Drone Industries. Will herald a new age in higher technology, create jobs and lead to more efficient & green automotive manufacturing.
— Dr. S. Jaishankar (@DrSJaishankar) September 15, 2021
Yesterday on 15th September, a landmark decision was taken by the PM Modi Cabinet. The decision of introducing a PLI Scheme for Auto and Drone sector. This decision is considered to be designed for improving the state of affairs for Auto manufacturers.
Here is the SMEStreet Story on the announcement of PLI Scheme for Auto & Drone manufacturers.
Industry’s Reaction on PLI Scheme for Auto Sector
Mr. Vikram Kirloskar, Vice Chairman, Toyota Kirloskar Motor stated, “Today marks a milestone for the Indian automotive industry as the Government has announced the contours of the much-awaited Production Linked Incentive (PLI) scheme for the auto sector with special focus on Battery Electric Vehicles and Fuel Cell Electric Vehicles. Here, we would like appreciate the efforts made by the Government of India as the scheme is quite distinct when compared to other sectoral schemes and it addresses existing competitive gaps and aims to foster rapid tectonic technological shifts to leverage opportunities arising from the realignment of global supply chains. The PLI scheme also proves to be timely so as to be able to revive the sectoral growth and lay the foundation for the country to become a global auto manufacturing hub.
“At Toyota Kirloskar Motor (TKM), we believe the scheme will be instrumental in providing the desired impetus for ‘Make in India’ thereby reducing imports, and enabling the Indian automotive industry to move up the value chain into higher value-added technologies. Above all, it will help attract global investments as several automotive players are looking to diversify their supply chains owing to the pandemic and emerging geopolitical scenarios. For our part, as pioneers of electrified technologies, TKM will continue to focus on mass electrification by encouraging localization of electrified vehicle parts,” Mr Kirloskar added.
EV Industry’s Feedback
Mr. Yatin Gupte, Chairman and Managing Director, WardWizard Innovations and Mobility Ltd (Vadodara based EV 2 wheeler manufacturers)
“The Production Linked Incentive scheme (PLI) of Rs. 26,058 crore for the Auto and drone industry is a futuristic step by the government, which will help the automobile industry to be self-reliant, loaded with the latest technology. The scheme aims to enhance India’s manufacturing capabilities and will boost the sunrise industry of Electric vehicles. The PLI scheme is going to promote our Indian manufacturers to expand their businesses. The push for a clean environment and sustainable mobility will help us to raise our targets by a higher percentage and expand operations in global markets. This move will further make this segment stronger with the utilization of advanced technology and fasten infrastructure.”