South Korean Electronics major Samsung has skipped participation in the production linked incentive (PLI) scheme for telecom networking equipment, a few days back. But now, the firm has changed its mind, and is likely to ask for an extension of the deadline (July 3) to apply for the same. The earlier decision to not participate in the PLI scheme was because Samsung had only one customer – Reliance Jio Infocomm. In fact, Samsung is importing the equipment from South Korea and Vietnam with the help of India’s free trade agreement with these countries.
The Centre was dissatisfied because of the top leadership of Samsung many times before the Cabinet changed the company’s decision to not participate in the scheme.
“There is pressure on Samsung for not participating in the PLI scheme for telecom network equipment. The government wants Samsung to invest to make India one of its global production hubs. The company is re-evaluating and may request the government if its application can be accepted since the deadline is now over,” quoted an industry executive.
“The government wants marquee investors to invest in PLI schemes. In fact, government officials have also expressed their disappointment that Samsung did not apply even for the IT hardware PLI scheme and fears that it may not do so in upcoming ones like that for AC and wearables,” quoted another industry executive.
Samsung has always been compliant with the local laws and regulations while adhering to a stringent global code of conduct for all its employees. The firm vests its belief in the fact that ethical management is not just a tool for addressing the rapid changes in the global business environment, but also a medium for enhancing trust among its stakeholders comprising of customers, shareholders, employees, business partners as well as local communities. Furthermore, Samsung aims to outclass as one of the best ethical companies in the world, in the days to come!