PG Electroplast, a contract manufacturer of electronic goods, on Thursday said it has applied for the production-linked incentive (PLI) scheme and committed to investing Rs 300 crore to manufacture air conditioner components.
Through its wholly-owned subsidiary PG Technoplast, it has committed a capital expenditure (capex) of Rs 300 crore over the next five years for manufacturing air conditioner (AC) components, according to a statement.
The company has already started the first phase of its planned investment, said PG Electroplast adding that it is also building up its design and R&D (research and development) capabilities for the AC segment.
PG Electroplast Managing Director (Operations) Vikas Gupta said, "We want to create a strong domestic component ecosystem in the nation. With this, we will be able to help India turn into a worldwide manufacturing powerhouse." Earlier this month on September 16, the government had said as many as 31 companies, including Voltas, Daikin, Panasonic, Hitachi, Blue Star and Havells, have applied for availing PLIs for manufacturing of components, proposing an investment of around Rs 4,995 crore.
The selection of applicants will be done within 60 days from the date of closure of the application window or by November 15, the Department for Promotion of Industry and Internal Trade (DPIIT) had said.
The PLI Scheme for White Goods (Air Conditioners and LED Lights) is expected to increase domestic value addition in the manufacturing process from 25 per cent to 75 per cent by 2026.
