In the final quarter of this fiscal year, the government anticipates disbursing Rs 79 crore in fiscal incentives under the Production-Linked Incentive (PLI) scheme for white goods. This move comes as selected beneficiary firms commence production, aligning with the scheme’s objective to bolster domestic manufacturing of air conditioners and LED light components.
According to a senior official, there might be a shortfall in achieving the targeted Rs 11,000 crore incentive disbursement across various sectors under the scheme in the current fiscal year. The official highlighted the expectation of a substantial portion of disbursements occurring towards the end of the fiscal year due to many projects being in the gestation phase. Specifically, in the white goods sector, an approximate disbursement of Rs 79 crore is anticipated in the last quarter.
Of the 64 beneficiaries chosen under the PLI scheme for white goods, 15 have already initiated production, selecting a gestation period until March 31, 2022. Meanwhile, the remaining beneficiaries, with a gestation period until March 31, 2023, are at various stages of implementation. The PLI scheme, spanning from 2021-22 to 2028-29, is allocated an outlay of Rs 6,238 crore.
Addressing inquiries about potentially extending the scheme to sectors like toys, the official indicated that decisions regarding extensions hinge on scheme reviews and assessments of progress made so far. The official highlighted ongoing inter-ministerial consultations to evaluate progress across sectors and determine necessary adjustments.
