Ministry of Heavy Industries hosts Auto PLI Conclave to boost Automobile Industry

 The Ministry of Heavy Industries (MHI) organized an Auto PLI Conclave at Bharat Mandapam, Pragati Maidan, New Delhi, to discuss and highlight the Production Linked Incentive (PLI) Scheme for the Automobile and Auto Component Industry. The PLI Scheme aims to incentivize domestic manufacturing of Advanced Automotive Technology products and attract investments in the automotive manufacturing value chain.

During the event, Union Minister of Heavy Industries, Dr. Mahendra Nath Pandey, emphasized the Ministry’s commitment to Prime Minister Narendra Modi’s vision of a developed and self-reliant India. He highlighted India’s current position as the 5th largest economy globally and expressed confidence in India soon becoming the 3rd largest economy. He also noted the Ministry’s focus on promoting clean and environment-friendly vehicles, aligning with the goal of a carbon-free India by 2070.

Krishan Pal Gurjar, Minister of State for Heavy Industries and Power, called upon industry leaders to collaborate in making India a global manufacturing hub. He emphasized that the combined efforts of the government and the industry would lead to this achievement. Kamran Rizvi, Secretary of MHI, outlined the Ministry’s initiatives to promote environment-friendly manufacturing in the automotive industry, including the PLI-Auto and PLI-Advanced Chemistry Cell schemes. These initiatives aim to develop carbon-free vehicles and foster innovation to reduce the country’s carbon footprint.

The PLI-AUTO Scheme, with a total outlay of ₹25,938 crore, has already shown promising results. Companies like Mahindra & Mahindra, Tata Motors, and Ola Electric have received Domestic Value Addition (DVA) certification for their advanced automotive technology products. These companies, along with IFCI Limited and Automotive Research Association of India (ARAI), were felicitated during the conclave.

The scheme has attracted proposed investments of ₹67,690 crore against the target of ₹42,500 crore over five years, with ₹13,037 crore already invested by December 31, 2023. It has also generated 28,515 jobs against a proposed 1.48 lakh jobs. Considering the industry’s needs, MHI has extended the PLI Scheme by one year, providing incentives for determined sales over five consecutive financial years from 2023-24 to 2027-28, with disbursement in the following year. The event showcased approved vehicles under the scheme and witnessed the felicitation of companies that met the DVA criteria, marking a significant milestone in India’s automotive industry.