Telecom PLI Scheme Disburses ₹1,162 Crore in Incentives So Far

Government targets ₹2.45 lakh crore in sales and 44,000 jobs, but concerns grow over white-labelling and misuse of benefits

The Central government has disbursed ₹1,162 crore under the Telecom Production-Linked Incentive (PLI) Scheme as of March 31, 2025, according to data released by the Department of Telecommunications (DoT) on Sunday. Launched on April 1, 2021, the scheme is part of India’s larger push towards domestic manufacturing and self-reliance in the telecom sector. It is scheduled to conclude at the end of the current financial year.

Of the 42 companies shortlisted under the scheme, only 21 manufacturers have successfully received incentive payouts. Two firms — Coral Telecom Limited and Alphion India Pvt Ltd — had their claims rejected for failing to meet the eligibility criteria during their respective financial years.

The government initially allocated ₹4,115 crore for the scheme, aiming to generate ₹2.45 lakh crore in additional sales and create over 44,000 new jobs over the scheme’s duration. As of January 2025, beneficiary companies have collectively invested ₹4,081 crore, resulting in total sales of ₹78,672 crore, including ₹14,963 crore in export sales. The scheme has also helped create 26,351 jobs to date.

Despite these achievements, the initiative has not been without criticism. An anonymous representative from a participating firm alleged that some companies are engaged in white-labelling imported products rather than genuinely manufacturing in India. This practice not only undermines the spirit of the PLI scheme but also puts pressure on profit margins for companies that are investing in true domestic production. The industry has called for stricter oversight and monitoring to ensure that only authentic manufacturing is incentivized.

Jabil Circuit has emerged as the top beneficiary, receiving ₹235.87 crore in incentives across two financial years. Other major recipients include Flextronics (₹165.12 crore), Nokia (₹157.32 crore), NeoLync Telecommunications (₹142.06 crore, backed by Reliance), Rising Stars Mobile India (Foxconn) (₹80.33 crore), and Syrma SGS (₹53.23 crore).

Smaller disbursements were made to VVDN Technologies (₹48.37 crore), Sanmina-SCI (₹44.35 crore), Dixon India (₹34.78 crore), and GX India (₹20.91 crore).

Industry observers emphasize the need for closer collaboration between telecom operators and the government, advocating for increased procurement of high-local-value products to reinforce Make in India goals and long-term job creation.

(The content of this article is sourced from a news agency and has not been edited by the Mavericknews30 team.)