These Stocks May Benefit If the Government Boosts PLI Outlay in Budget 2023.
Under the Make in India initiative, the Indian government provides periodical impetus to the country's manufacturing sector by granting various incentives.
The government had declared Production-linked incentives (PLI) for 5 years starting 2020. The total outlay of this scheme is Rs 1.97 tn. Higher allocation has been set aside for the auto sector, followed by mobile phones and battery manufacturers.
As part of the scheme, an additional Rs. 0.76 tn has been set aside for semiconductor manufacturing companies.
Depending on expected PLI outlay these stocks may benefit after Budget'23 announcement:
1. Tata Motors
2. Cummins India
3. PI Industries
4. Dixon
5. Siemens
As per a Credit Suisse report, the PLI schemes will help the economy generate $150 bn of incremental revenue by FY27. These will also help India substantially bring down its current account deficits.