India’s telecom manufacturing sector is gaining momentum under the government’s PLI scheme, with investments surpassing Rs 5,200 crore and sales reaching Rs 1.1 lakh crore, signalling a significant shift towards self-reliance and export capability.
India’s telecom manufacturing push is gathering pace, with the government’s production-linked incentive scheme for telecom and networking gear now having drawn more than Rs 5,200 crore in investment and generated cumulative sales of about Rs 1.1 lakh crore, according to information the Department of Telecommunications gave to a parliamentary committee. The latest figures suggest the programme is helping build a larger domestic base for equipment that India has long imported.
The department said the scheme has also supported exports of more than Rs 23,500 crore and, by February 2026, had created nearly 32,500 jobs while helping establish 22 manufacturing units across 10 states. The figures cover a wide range of products, including 4G and 5G equipment, radio access network systems, core transmission gear, routers, switches, internet of things devices and customer-premises equipment.
Launched in 2021, the telecom PLI scheme was built to do more than expand assembly lines. It was designed to pull manufacturers into India, deepen local value addition and encourage design-led production, with a separate push for firms using Indian technology. The programme has an approved outlay of Rs 12,195 crore over five years and includes support for micro, small and medium enterprises.
The new numbers are a sharp step up from earlier disclosures. The Economic Times reported that by January 31, 2025, sales under the scheme had reached Rs 78,672 crore, exports stood at Rs 14,963 crore, investment totalled Rs 4,081 crore and employment had risen to 26,351 people. The same report said the scheme covers 33 telecom and networking products and is intended to cut dependence on imports while building export capacity.
For FY 2025-26, the revised allocation was Rs 1,944 crore, with Rs 1,597.93 crore already used by March 31, 2026. That level of utilisation indicates that more beneficiaries are moving from commitments to production and incentive claims. The broader test now will be whether the sector can sustain momentum in higher-value areas such as 5G radios, optical transmission systems, enterprise networking equipment and indigenous software-led products once the scheme period ends.
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