Indian Economy: News and Discussion

ezsasa

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I think this scheme was rushed up , and most probably we may see some policy changes and re floating of tender .


@ezsasa if you have knowledge , could you please elaborate ,that their are few companies in noida doing wifi router and some server hardware manufacturing , shouldn't we grow them exponentially , and divide this pli in parts so that where we have a company it can grow too , where no indian company existent then foreign one can do it .
This gives a good over view of the scheme.
 

ezsasa

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Companies want but they want deadline extension as the incentives are low.
So that's a negotiation, which will happen between GoI and companies.
so how does this justify this hyperbole ?

I am telling you Modi and BJP were the biggest snakes, these snakes are just removing their skin in 2021.
now all the manufacturing will go to ASEAN and their GDPs will grow not ours.
 

shade

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If companies don't want to apply for this scheme, what do you expect Government to do?
For electronics/IT Hardware PLI Dell, Foxcon, the other Taiwanese ESDM groups and like 10 different Indian companies have applied.

Current drama is over these phoren companies wanting juicier gibs, up to 4% from current 2.2%, and overal outlay of gibs hiked to 20,000 cr from current 7000 cr, since unlike smartphones they can import Laptops and other computers in India at 0% duty thanks to some ITA-1 agreement of the WTO we signed in 1996.


They want more juicier gibs, you can read in article above, and it's not entirely beyond reason, globally this segment is controlled by chinks, Laptops, AIOs and Servers, we have little to no presence.

Original article on which all triggering in this thread is based is below

 

shade

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Semiconductors?
Samsung has started a Display production plant recently in Noida, UP and Central govt have been generous with Gibs, this is probably attached to MEIS scheme and not any PLI.

In terms of Integrated Circuit type semiconductors no, nothing has materialized as of yet, it needs a dedicated scheme tailor made for it, MEIS and PLI gibs-as-bait schemes won't cut it, the scheme for semiconductors needs to be comprehensive and govt backed through an SPV PSU company..

So that's a negotiation, which will happen between GoI and companies.
so how does this justify this hyperbole ?
Matter of deadline extension is related to the Mobile Phone PLI and not to the IT Hardware one.
Mobile Phone PLI has been in effect since 2020 last year, and except Samsung nobody has managed to meet the targets, chiefly the Taiwanese ODMs and our desi companies like Lava and all.

The matter of IT Hardware PLI is the foreign companies are angery that the gibs are far too less than what they expected/wanted.
 

ezsasa

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Samsung has started a Display production plant recently in Noida, UP and Central govt have been generous with Gibs, this is probably attached to MEIS scheme and not any PLI.

In terms of Integrated Circuit type semiconductors no, nothing has materialized as of yet, it needs a dedicated scheme tailor made for it, MEIS and PLI gibs-as-bait schemes won't cut it, the scheme for semiconductors needs to be comprehensive and govt backed through an SPV PSU company..



Matter of deadline extension is related to the Mobile Phone PLI and not to the IT Hardware one.
Mobile Phone PLI has been in effect since 2020 last year, and except Samsung nobody has managed to meet the targets, chiefly the Taiwanese ODMs and our desi companies like Lava and all.

The matter of IT Hardware PLI is the foreign companies are angery that the gibs are far too less than what they expected/wanted.
basically what i wanted to explain to @FalconSlayers is that this is not a t20 match where we react to every ball. it's a long game where many experiments need to be done, and finally a correct combination of incentive per sector will be found, provided voters keep electing the right people.

baaki sab chalta rahta hai...
 

JBH22

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Manufacturing is already going to Vietnam, and Laptop, Servers and all overwhelmingly made in China currently, if this PLI was successful it would atleast stop fully assembled and boxed laptops and servers from being imported here, with local assembly happening and possibility of components being sourced from local companies.
But for that they would have to deal with that ITA-1 clusterfuck first which prevents duties on these items.
They are trying a workaround where supposedly they are holding up imports of boxed laptops because their made in china WiFi modules are not certified by an Indian authority, ofc this is a "gentle nudge" to get them to start assembly lines here.
Why they are moving to ASEAN.
1. West understand that they cannot put all eggs in same basket like they did with PRC.
2. Logistic in India is horrendous port clearance lead time etc
3. Work ethics not great. Especially with that union socialist crap
4. Setting production site in India and giving it's economy boost in arm not useful for any world power.
 

sorcerer

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India's forex reserves rise by $1.4 billion due to surge in RBI's gold assets


Mumbai: India’s foreign exchange reserves rose by $1.444 billion to $589.465 billion in the week of May 7, the Reserve Bank of India’s weekly statical data showed on Friday.

The increase in foreign kitty in the reporting week was mainly on the back of a rise in the value of gold assets held by the central bank. The gold reserves in the reporting week rose by $1.016 billion to $36.480 billion, as per the central bank data.

 

sorcerer

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Make In India: ReNew Power To Set Up Solar Cell, Module Manufacturing Unit In Gujarat's Dholera With Rs 2,000 Crore Investment

India’s largest independent producer of renewable energy, Gurugram-based ReNew Power has finalised the location in Gujarat for its maiden solar cell and module manufacturing unit, reports Economic Times.

The unit will come up in Gujarat’s Dholera with an initial investment of Rs 1,200 crore. The total investment in the unit will eventually rise to Rs 2,000 crore as Sumant Sinha led ReNew Energy ramps up the scale.

 

angryIndian

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If You compare UP , Bihar Odisha and Bengal on Parameters like Infant Mortality rate , Maternal Mortality Rate and Average Life Expectancy
Infant mortality rate
West Bengal 25 deaths per 1000 live births
Bihar 38 deaths per 1000 live births
Uttar Pradesh 43
Odisha 44

Now, Average Life expectancy
West Bengal 70.2
Bihar 68.1
Odisha 65.8
Uttar Pradesh 64.1

This data is a little Old available on the website of Niti Ayog believe it or not But Bihar is about to overtake West Bengal in 5-6 years there is no doubt West Bengal is better than these states but won’t always remain better because Bihar and UP are improving at a much faster pace than Bengal or Odisha
I have no qualms if Bihar and UP are making genuine progress but the thing is as this horror of Pandemic has clearly shown,it isn't the case.

With still Sub 1000 per capita income, extremely poor HDI and still a high birth and fertility rate...it will be tough for either UP or Bihar to beat WB in 5-6 years.
And always remember without social development, Industrial development is meaningless.
The six lane road has no meaning if a woman is unable to walk even in daylight.
 

angryIndian

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You seem terrible outdated in your understanding of development of contemporary India. Your contempt for hindi belt is reeking of far deeper malice then you let on. Anyway to the deliberately ignorant there is no cure .

What part of contemporary India did i fail to undrstand ?

The fact that the youth are hopeless, the poor who are failed by the system all the time have given up all hope and rich/middle class abandoning the country in droves and a government which does not know anything about governance.
If a country cannot provide basic minimum primary healthcare because of which many of the people have to die from preventable causes, then it needs a lot of soul searching to do.
 

Chandragupt Maurya

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I have no qualms if Bihar and UP are making genuine progress but the thing is as this horror of Pandemic has clearly shown,it isn't the case.

With still Sub 1000 per capita income, extremely poor HDI and still a high birth and fertility rate...it will be tough for either UP or Bihar to beat WB in 5-6 years.
And always remember without social development, Industrial development is meaningless.
The six lane road has no meaning if a woman is unable to walk even in daylight.
And what about the kind of violence which we saw in Bengal post elections we didn’t see violence in Bihar elections
 

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