Govt plans mobile PLI 2.0 with $5 bn outlay by May

New Delhi

The government is likely to roll out production-linked incentives to boost mobile phone exports from the country by May with an outlay of over $5 billion (around ₹46,000 crore), sources aware of the development said on Wednesday.

The Scheme for Large Scale Electronics Manufacturing (LSEM) was launched in 2020 to boost domestic manufacturing of mobile phones with an outlay of ₹40,995 crore, or about $5.7 billion based on the exchange rate at that time. LSEM was commonly known as the production-linked incentive (PLI) scheme for mobile phones.

"The PLI 2.0 for mobile phones is in the works with a focus on boosting exports. It should be in place by May. The outlay is expected to be over $5 billion," a source on condition of anonymity told PTI on Wednesday.

Another source said the Electronics and IT Ministry is in discussion with the Finance Minister for the PLI, after which it will be placed before the Cabinet for final approval. "The target is to double export of mobile phones from India. However, a lot of things are dependent on the outlay," the source said.

According to official data, smartphones worth ₹2.62 lakh crore (about $28 billion) were exported in 2025 with Apple emerging as the poster boy of the scheme.

Total exports under the scheme till February 2026 have crossed 6.2 lakh crore, which is 27% more than the target of Rs 4.87 lakh crore set-up under the scheme.