New Delhi, Jan 25 (KNN) The Consumer Electronics and Appliance Manufacturers Association (CEAMA) is urging the Indian government to implement a Production Linked Incentive (PLI) scheme for the wearables sector, citing the rapid growth of Indian brands in this segment.

Sunil Vachani, the Co-Founder and Executive Chairman of Dixon Technologies, recently appointed as the new President of CEAMA, emphasised the need for a PLI scheme to further propel the wearables industry, as reported by The Hindu Businessline.

Vachani highlighted the challenge of affordability, pointing out the impact of high taxation levels on consumer durable and electronics products.

He specifically mentioned that air-conditioners attract a 28 per cent Goods and Services Tax (GST), expressing the industry's priority to engage with the government and GST Council to gradually reduce GST on such products.

The overarching goals of CEAMA include strengthening the "Make-In-India" initiative, enhancing global competitiveness, and positioning India as a global powerhouse for exports in the appliances sector.

Vachani emphasised that reducing GST rates is crucial for boosting demand and making these products more accessible to consumers.

Addressing concerns about muted consumer sentiment in rural markets post-Covid, Vachani acknowledged the challenges but noted positive developments.

While consumption has been impacted, he mentioned green shoots emerging in rural markets, particularly for product categories such as semi-automatic washing machines.

Vachani also pointed to the success of existing PLI schemes for air-conditioners and LED lights in bolstering the domestic manufacturing ecosystem.

Drawing attention to India's status as the largest market for wearables globally, he advocated for a dedicated PLI scheme for the wearables sector.

Indian brands, he noted, are dominating the wearables market and investing significantly in design, presenting ample opportunities for exports in this segment.

(KNN Bureau)