MSMEs Drive New Investment Under India’s PLI Scheme for White Goods

India’s PLI Scheme for White Goods

India: The government received commitments worth US$ 215.7 million from 13 companies under the production linked incentive scheme for air conditioner and LED component manufacturing. Over half of the applicants were MSMEs, highlighting their increasing participation in the domestic supply chain. Nine companies will invest US$ 204.7 million in key air conditioner components such as compressors, motors, copper tubes and control assemblies, while four firms will invest US$ 11.1 million in LED components including chips, drivers and heat sinks. The ministry added that “Among the 13 applicants, one is an existing beneficiary under the PLI Scheme for White Goods, committing an additional investment of US$ 1.6 million.”

The projects are spread across six states and are expected to support job creation and strengthen regional manufacturing networks. Introduced in 2020, the PLI scheme aims to expand local production capacity and reduce import dependence. The white goods segment, launched in 2021 with an outlay of US$ 703 million, has so far drawn committed investments of US$ 1.1 billion from 80 approved companies and is projected to support US$ 19.3 billion in output.

Source: Mint