India’s Department of Telecommunications (DoT) highlighted a production linked incentive scheme attracted investments of INR40.8 billion ($476.6 million) as of end-January, generating INR159.6 billion in sales, with exports accounting for 19 per cent of the total.

The DoT noted companies in the programme so far created 26,351 jobs. The scheme launched in early 2021 with a total outlay of INR122 billion and is designed to expand local production of telecoms and networking products.

India’s agency also amended the guidelines to allocate an additional 1 per cent incentive for products designed, developed and manufactured in the country to promote design-led manufacturing.

Other modifications include adding 11 new products to the list of 33 and giving companies the flexibility to add one or more products from the approved list at any time during the scheme tenure. 

The country’s rapid progress in smartphone production was supported by the government handing out INR450 billion in incentives to 16 domestic and international electronics companies, starting in 2020.