APRIL - 20259TOP STORIESCABINET APPROVES 22,919 CR PLI SCHEME FOR NON-SEMICONDUCTOR COMPONENTSThe Union Cabinet, led by Prime Minister Narendra Modi, has green-lit the long-awaited production-linked incentive (PLI) scheme for non-semiconductor electronics components at an outlay of 22,919 crores, Union Electronics and IT Minister Ashwini Vaishnaw said on Friday. The PLI scheme aims to boost domestic manufacturing, strengthen India's electronics supply chain and dependence on imports. The scheme is expected to channel investments worth 59,350 crores, generate production worth 4,56,500 crores and provide for 91,600 direct jobs as well as many indirect jobs over the span of six years, Vaishnaw said."Passive components are approved under the Electronics Component PLI scheme. It has a total package of 22,919 crore. This will be for over six years," Vaishnaw said.Electronics is one of the world's fastest-growing industries and plays an important role in economic and technological progress. In the past decade this industry has grown tremendously in India, growing at a growth rate from 1.90 trillion in 2014-15 to 9.52 trillion in 2023-24 at a compound annual growth rate (CAGR) of over 17 percent, a government bulletin showed. Exports have also grown: Electronic goods' exports in 2023-24 was 2.41 trillion; it was 0.38 trillion in 2014-15, a CAGR of over 20 percent. The approved scheme will target passive components, which include resistors, capacitors, and inductors, which are required building blocks of electronic devices. IMRFOXCONN TO SCALE UP IPHONE PRODUCTION IN INDIA, REACHING 25-30 MILLION UNITSFoxconn plans to manufacture 25-30 million Apple iPhones at its plants in India this year, representing more than a twofold rise compared to last year's production. According to sources familiar with the plans, this occurs as Apple broadens its manufacturing footprint in India and aims to diversify its production network.The Taiwanese company has been carrying out limited testing activities at its Bengaluru location for the last three to four months, suggesting swift progress in its growth of manufacturing operations throughout India, the source noted."Last year, the company assembled about 12 million iPhones in India," a source told ET. "But with their Bengaluru facility also coming up quickly, they have set their ambitions a lot higher, in line with Apple's push to deepen their presence in India."With Apple expanding beyond China, Foxconn's activities in India have seen significant expansion. The Taiwanese company has boosted its investments in mobile assembly domestically, indicating more growth ahead as Apple enhances its footprint in India.Chang states that iPhone production remains Foxconn's top priority. He expects India's production share to rise from last year's target of 12-16percent to 21-25percent this year. In line with Apple's vision, Foxconn aims to enhance its collaboration, concentrating on broadening its manufacturing footprint in India.Once trial runs are successfully finished, Foxconn can move on to the 'revenue build' phase, when the produced phones will be set for distribution. Beginning deliveries from the Bengaluru facility will be a key factor in achieving Foxconn's desired production goals. IMR
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