Hyderabad-based Resolute gets PLI nod for telecom, LED lighting
Hyderabad: The Resolute Group of Companies has become the first electronics company in Telangana to have received PLI (production-linked incentive) approval for both telecom and LED lighting from the Central government. The Hyderabad-based company intends to make investments and start manufacturing telecom equipment, including networking products, 4G, 5G telecommunication equipment, and fibre optic telecommunication equipment. […]
Hyderabad: The Resolute Group of Companies has become the first electronics company in Telangana to have received PLI (production-linked incentive) approval for both telecom and LED lighting from the Central government.
The Hyderabad-based company intends to make investments and start manufacturing telecom equipment, including networking products, 4G, 5G telecommunication equipment, and fibre optic telecommunication equipment. The company will scale up volumes in addition to ensuring quality.
The company believes that the whole LED segment is moving towards smart lighting, which is the future. The current PLI is beneficial for smart lighting, which is more energy-saving than LEDs.
Raminder Singh Soin, chairman, Resolute, said, “The government wants that manufacturing happens in India and there is a benefit in terms of overall costs. When we are able to bring the overall costs down for the end product rather than the imported product, we have the benefit of the costs and we have the benefit of manufacturing.”
“The government is looking at increasing job opportunities and to create an ecosystem that makes us more competitive globally,” he added.
Resolute has been in the telecom sector as well as the lighting industry for a long time, and is now going into the next phase of growth with the PLI sanctions. “We have the technology, and what we need in India is innovation and scalability. This will enable export of the products and not only ‘Make in India’ for India but also for the rest of the world,” Soin asserted.
The PLI sanction by the government will help the economies of scale and bring the overall cost down. Earlier, the import of components contributed towards 80 per cent of the build-up material and that has now come down to 40 per cent, which is clearly indicative of the transformation.
“We foresee that this will further come to less than 10 per cent with only the main ICs that need to be imported while the other components will be made in India. This is a major step in the case of LED lighting which is well driven,” Soin added.
The proposal of DPIIT for the PLI Scheme for White Goods for manufacture of components and sub-assemblies of ACs and LED Lights was approved by the Union Cabinet chaired by the Prime Minister on April 7, 2021. The scheme is to be implemented over a seven-year period, from FY 2021-22 to FY 2028-29 and has an outlay of Rs 6,238 crore.
A total 52 companies filed their application with committed investment of Rs 5,858 crore under the PLI scheme. After evaluation of all the applications, 42 applicants with committed investment of Rs 4,614 crore have been provisionally selected as beneficiaries under the PLI scheme.
The selected applicants include 26 for air conditioner manufacturing with committed investments of Rs 3,898 crore and 16 for LED lights manufacturing with committed investments of Rs 716 crore.
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