Samsung to get up to ₹600 cr as phone manufacturing PLI
NEW DELHI : The Union government is likely to disburse up to ₹600 crore to South Korea’s Samsung Electronics Co. Ltd for the first year under the production-linked incentive (PLI) scheme for mobile phone manufacturing, three people aware of the development said. This would be the largest payout ever under the scheme, the first in a series of similar schemes rolled out to incentivize domestic manufacturing.
The government may release the incentive amount by the month-end, the first of the three officials said, while the second official said the decision to release it was taken at the top levels of the government after due consideration. The officials spoke on condition of anonymity. “The internal committee of the ministry of electronics and information technology has agreed to give out the pending incentives from the first year of the PLI scheme," the first official said.
“The discrepancies that were identified earlier have been resolved by the company," he added, noting that the amount could be in the vicinity of ₹500-600 crore. Samsung had claimed incentives of about ₹900 crore on generating revenues of about ₹15,000 crore from smartphone sales in FY21, the first year of mobile phone manufacturing that began in August 2020. It was the only company that achieved the targets set for claiming the incentives, while others that struggled after the pandemic outbreak could not.
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