Govt to release PLI incentives for white goods in Q4

New Delhi: The government is expected to start disbursement of fiscal incentives under PLI for white goods in the last quarter of this financial year as certain selected beneficiary firms have started production, DPIIT Secretary Rajesh Kumar Singh said on Tuesday. The production-linked incentive (PLI) scheme on white goods seeks to encourage domestic manufacturing of air conditioners and LED light components. “In the last quarter (January-March), we are expecting some disbursements,” Singh told reporters on the sidelines of the India Korea Business Partnership Forum meeting here.

Of the 64 selected beneficiaries of the PLI scheme, 15 have started production. These 15 beneficiaries had opted for a gestation period of up to March 31, 2022. Rest of the beneficiaries who opted for gestation period of up to March 31, 2023, are at different stages of implementation.

The scheme is to be implemented over a seven-year period, from 2021-22 to 2028-29 and has an outlay of Rs6,238 crore. Singh also said that in PLI sectors like auto and white goods, gestation period is longer and companies have to cross the investment threshold to qualify for the incentives, which takes time.