India’s telecom equipment sales cross Rs50,000 crore with PLI scheme

13 Jul 2024

Domestic manufacturing and sales of telecom equipment in the country achieved a milestone of  Rs50,000 crore with the implementation of the production-linked incentive (PLI) scheme.

The country also exported telecom equipment valued at Rs10,500 crore within three years of the launch of the production-linked incentive (PLI) scheme for telecom equipment.

PLI scheme for telecom and networking products and for large scale electronic manufacturing of electronics not only led to a significant increase in exports but also helped generate significant employment, contributing to the country’s economic growth.

The country exported electronic products, including telecom equipment and mobile phones. valued at Rs1.49 lakh crore against imports worth Rs1.53 lakh crore in the 2023-24 financial year, according to official estimates

The scheme has attracted an investment of Rs3,400 crore and helped create more than 17,800 direct jobs and several more indirect jobs.

Sales of telecom and networking products by PLI beneficiary companies in the 2023-24 financial year increased by 370 per cent compared to FY 2019-20 when the scheme was launched.

The scheme also helped generate substantial employment opportunities across the value chain, from manufacturing to research and development, creating more than 17,800 direct jobs and many more indirect jobs.

An increase in local production also led to a 60 per cent reduction in the country’s reliance on imported telecom equipment.

The trade deficit in telecom (both telecom equipment and mobiles put together) has come down from Rs68,000 crore to Rs4,000 crore over the last five years.

India today is almost self–reliant in Antennae, Gigabit Passive Optical Network (GPON) and  Customer Premises Equipment (CPE). 

Local production has become increasingly competitive on a global scale, offering high-quality products at competitive prices.

India today exports locally-manufactured 5G telecom equipment to North America and Europe.

A reduction in import dependency has also helped enhance national security and foster self-reliance