Production-Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights):

 

Explain about Production-Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)?

Ans: Production-Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights) was approved , in India on 7 April 2021, with a total outlay of Rs.6,238 crore, to be implemented from FY 2021–22 to FY 2028–29. The scheme was subsequently notified by DPIIT on 16 April 2021.

This initiative is expected to significantly strengthen domestic manufacturing capabilities and drive economic growth in the sector:-

1)Under the scheme, manufacturers of Air Conditioners will produce components such as compressors, copper tubes (plain and/or grooved), control assemblies for IDUs and ODUs, heat exchangers, and BLDC motors, among others.

2)Similarly, for LED Lights, components including LED chip packaging, LED drivers, LED engines, LED light management systems, and metallized films for capacitors, among others, will be manufactured in India.

The PLI Scheme for White Goods aims to create a robust domestic component ecosystem for the Air Conditioners and LED Lights industry and position India as an integral part of the global supply chains. The scheme offers incentives ranging from 6% to 4% on a reducing basis on incremental sales for a period of five years, following the base year and a one-year gestation period. Domestic Value Addition is expected to increase from the current 20–25% to 75–80%.

White Goods:-

Example: Air Conditioners