India frames new rules pertaining to Chinese nationals working in PLI sectors
According to a government source, India has recently established new regulations to expedite visa approval for Chinese citizens working in the PLI sectors. The new visa guidelines are intended to simplify the visa approval process for Chinese nationals, which had previously been delayed. "The Ministry of Home Affairs and Ministry of External Affairs have worked on this. A new SOP has been circulated for those working in the PLI sector. This will help streamline visa approvals, and yes this is for Chinese nationals," the source further added.
The relationship between India and China has been strained lately, with Chinese President Xi Jinping skipping India's recent G20 leadership meeting. During a review of India's primary industry incentive scheme - the production-linked incentive (PLI) - company executives requested the government to fast-track visas for Chinese professionals. The prolonged visa processing was causing delays in investments and hindering vendors who needed the expertise of Chinese professionals.
The Production-Linked Incentive (PLI) scheme was approved in 2020 and currently covers 14 sectors, including steel, textiles, electronics, IT hardware, medical devices, pharmaceutical products, telecom, and drones. Discussions are ongoing to include other sectors. Out of all the sectors, only eight are performing well. The review will concentrate on schemes for the other six sectors, which include steel and textiles, advanced chemistry cell (ACC) batteries, automobiles and auto components, high-efficiency solar PV modules, and white goods, where the scheme has not been fully utilized. It's worth noting that out of the total outlay of Rs 1.97 lakh crore to be distributed under the scheme, only Rs 2,900 crore has been disbursed.
"Achieving disbursement of 1.97 lakh crore will be crucial. While eight sectors are already receiving disbursement, the remaining six are yet to begin to receive any. There is a lag, but we are not worried; it will happen well with time," DPIIT secretary Rajesh Singh said. The eight sectors receiving PLI include Large-Scale Electronics Manufacturing (LSEM), IT Hardware, Bulk Drugs, Medical Devices, Pharmaceuticals, Telecom & Networking Products, Food Processing and Drones and drone Components.
