24 Companies Commit Rs 3,516 Crore Investment Under PLI Scheme for White Goods (ACs and LED Lights)
By: Admin
January 21, 2025
Categories: PLI | Press Release
Read Time: 4 Min
The third round of the Production-Linked Incentive (PLI) Scheme for White Goods has attracted investments worth Rs 3,516 crore from 24 companies. This investment aims to boost the production of components for Air Conditioners (ACs) and LED Lights across India.
Key Highlights of the Third Round
Strong Industry Participation
The third online application window received 38 applications. Of these:
- 18 new companies were provisionally selected, committing Rs 2,299 crore in investments.
- 6 existing beneficiaries upgraded to higher investment categories, pledging Rs 1,217 crore.
Applications Under Review
The Committee of Experts (CoE) is currently reviewing 13 applications, including two from existing beneficiaries.
Total Investments and Economic Impact
Cumulative Industry Commitment
To date, 84 companies under the PLI Scheme for White Goods have pledged Rs 10,478 crore in investments. This commitment is expected to result in a production value of Rs 1,72,663 crore.
Key Manufacturing Areas
The scheme targets critical components:
- Air Conditioner Components: Compressors, copper tubes, heat exchangers, control assemblies, and BLDC motors.
- LED Lights: LED chip packaging, drivers, engines, light management systems, and metallized films for capacitors.
This initiative will enhance India’s manufacturing capabilities and position the country as a key player in global supply chains.
About the PLI Scheme for White Goods
The Union Cabinet approved the PLI Scheme for White Goods (Air Conditioners and LED Lights) on April 7, 2021. With an outlay of Rs 6,238 crore, the scheme is being implemented from FY 2021-22 to FY 2028-29.
Key Features of the Scheme
- Incentive Rates: Ranging from 6% to 4% on incremental sales over five years after a one-year gestation period.
- Focus Areas: The scheme aims to create a robust component ecosystem and significantly boost domestic value addition, from the current 15-20% to 75-80%.
Industry Significance
The PLI Scheme for White Goods is set to:
- Foster the growth of domestic manufacturing capabilities.
- Reduce dependence on imports.
- Create a globally competitive ecosystem for AC and LED components.
By focusing on critical components and offering attractive incentives, the scheme strengthens India’s position as a manufacturing hub. Additionally, it aligns with the country’s broader goals of economic self-reliance and export growth.
Conclusion
With investments pouring in and manufacturing capabilities expanding, the PLI Scheme for White Goods is driving economic growth while making India a major player in global supply chains. For further details, consult the official PLI Scheme documentation or relevant industry reports.
