Government releases standard operating procedure of PLI scheme for automobile sector
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The Union government has released standard operating procedure of the production linked incentive (PLI) scheme for automobile sector, whereby applicants can submit applications for testing and certification of advanced automotive technology products, which will help them qualify for incentives.
Minister of Heavy Industries Mahendra Nath Pandey said his ministry is trying to align itself with the Prime Minister's vision of Aatmanirbhar Bharat, and these SOPs (standard operating procedures) will not only help achieve that but will also help in increasing the manufacturing foothold. He noted that with this, the ministry aims to boost the domestic manufacturing sector and reduce dependence on imports, thereby creating more job opportunities for Indians. He also added that it would contribute to the overall economic growth of the nation. The scheme is expected to attract significant investments and help India become a global hub for automobile manufacturing.
The Ministry of Heavy Industries notified the Production Linked Incentive Scheme for Automobile and Auto Component Industry in India (PLI-Auto Scheme) on September 23, 2021, with a budgetary outlay of Rs 25,938 crore. The PLI-Auto Scheme proposes financial incentives to boost domestic manufacturing of advanced automotive technology (AAT) products and attract investments in the automotive manufacturing value chain.
