The textile sector is targeted to generate revenue of US$24.2 billion supported by an incentive of US$1.3 billion, while food products are expected to generate revenue of US$15 billion supported by an incentive of US$1.4 billion. Let’s read the full report.
The central government’s production-linked incentive (PLI) schemes have the potential to generate additional revenue of $459 billion over the next 5-6 years, benefiting over 720 companies, a Goldman Sachs report said. These initiatives are designed to strengthen manufacturing capabilities, reduce dependence on imports, increase exports and create employment in various sectors. The report said that more than 720 companies could deliver additional revenues of $459 billion in 5-6 years.
$2.3 billion boost
In the energy transition sector, the report notes that three projects focused on advanced chemistry cell (ACC) batteries are expected to generate revenues of $24.7 billion, supported by incentives of $2.3 billion. This corresponds to an incentive-to-revenue ratio of 9.2%. The automobile and auto components sector, which has 95 projects, has already achieved additional sales of $1.3 billion from the $3.2 billion incentive.
Government is working on green hydrogen sector
Meanwhile, 14 solar photovoltaic (PV) module projects are expected to generate revenues of US$64.6 billion with incentives of US$3 billion. Additionally, there are 34 projects in the green hydrogen sector with incentives worth US$2.2 billion and Ashoka Builders has announced an investment of US$1.08 billion in the sector. For import substitution, 32 projects in large-scale electronics manufacturing are estimated to generate revenues of US$130.1 billion with incentives of US$4.8 billion, giving an incentive-to-revenue ratio of 3.7 per cent.
Focus is on IT hardware sector
The IT hardware sector is expected to generate revenue of US$24.8 billion, a growth of US$2.1 billion. The telecom and networking products sector has already achieved sales of US$ 8.3 billion including exports of US$ 1.5 billion after an investment of US$ 480 million. Other sectors like white goods, drug intermediates and specialty steel are also contributing significantly in reducing imports and boosting domestic production. The pharmaceutical sector is expected to generate revenues of US$24.9 billion with incentives of US$1.9 billion to boost exports and employment.
The textile sector is targeted to generate revenue of US$24.2 billion supported by an incentive of US$1.3 billion, while food products are expected to generate revenue of US$15 billion supported by an incentive of US$1.4 billion. In the semiconductor sector, the US$9.5 billion stimulus is expected to generate revenues of US$53.1 billion.
