Bhagwati Products has become the first domestic company to receive the disbursement under the PLI scheme for IT hardware.
Consumer electronics manufacturer Bhagwati Products Ltd has received a disbursement of ₹5.3 crores from the Ministry of Electronics and Information Technology (MeitY) under the production-linked incentive (PLI) Scheme for IT hardware.
The smartphone manufacturer, whose parent company is Micromax, has become the first domestic company to receive the disbursement after it qualified incremental sales thresholds and investment criteria as per the requirements of the scheme.
The MEITY issued the notification for the PLI Scheme for IT Hardware on March 3, 2021. The scheme extends an incentive of 4% to 2% / 1% on net incremental sales (over a base year) of goods manufactured in India and covered under the target segment, to eligible companies, for four years. The target segment under the PLI IT hardware scheme includes laptops, tablets, all-in-one PCs and servers.
Apart from Bhagwati (Micromax), there were 13 other companies including Dell, ICT (Wistron), Flextronics and Rising Stars Hi-Tech (Foxconn), Lava International Ltd, Dixon Technologies (India) Ltd, Infopower Technologies (JV of Sahasra and MiTAC) who had received the approval for incentives under the scheme.
Speaking on the occasion, Rajesh Agarwal, Director, Bhagwati Products expressed his gratitude towards the Government of India, their customers and local authorities. “We are amongst the very first Indian manufacturers in the sector and being the first to achieve this incentive under the PLI scheme is a key milestone in our journey,” he said.
He outlined the company’s plans with an aim to take Indian manufacturing across the globe. “It is indeed a huge recognition and support for us and we are committed to building the best-in-class component ecosystem in the country, with a focus on making investments and creating jobs in the country. With this, we not only aim to boost the domestic market but also aim to take Indian manufacturing on the global map,” he added.
Bhagwati has been producing smartphones, LED TVs, tablets, laptops and air-conditioners from its two facilities with an annual capacity of 20 million units. It has invested in expanding its manufacturing facilities. The company has added more SMT Lines to cater to the growing demand both from domestic & international brands. electronicsB2B