Govt likely to rollout PLI 2.0 for mobile phones with over $5 bn outlay by May

The government is likely to roll out a second phase of the production-linked incentive (PLI) scheme for mobile phones by May, with an outlay of over $5 billion (around Rs 46,000 crore), aimed at accelerating exports from India, PTI reported citing sources.The proposed PLI 2.0 for mobile manufacturing is currently under discussion and is expected to prioritise export growth, according to sources.“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 USD 5 billion,” a source told PTI.Another source said the Ministry of Electronics and IT is in discussions with the finance minister, following which the proposal will be placed before the cabinet for final approval.“Target is to double export of mobile phones from India. However, a lot of things are dependent on the outlay,” the source said.The earlier Scheme for Large Scale Electronics Manufacturing (LSEM), launched in 2020 with an outlay of Rs 40,995 crore (about $5.7 billion at the time), aimed to boost domestic mobile manufacturing.The scheme, widely known as the PLI for mobile phones, has delivered strong export growth, with smartphones worth Rs 2.62 lakh crore (around $28 billion) exported in 2025, with Apple emerging as a key contributor.Total exports under the scheme till February 2026 have crossed Rs 6.2 lakh crore, exceeding the target of Rs 4.87 lakh crore by 27%.However, job creation under the scheme has been slightly below expectations, with 1.85 lakh jobs generated compared to the target of 2 lakh jobs, PTI reported.