Dhoot Transmission May Seek Government Incentives if Future Products Qualify

Dhoot Transmission may apply for PLI-like government incentive schemes if the products it is developing qualify in the future, Naveen Kumar, Group CEO of the company, said during an interaction with Autocar Professional.

When asked whether the company plans to seek PLI-like incentive schemes, the top executive said, "It depends upon the type of product you want to develop. We are in the strategy right now. So, once we finalise something and if it falls under the scheme, we will definitely go for that."

The gap is not for want of standing. Dhoot held 44.64 percent of India's two-wheeler and three-wheeler wiring harness market by value in FY25, placing it among the top two suppliers in the country. Its share of electric two-wheeler and three-wheeler harnesses was above 70 percent. A programme built to promote electric mobility does nothing for the company that supplies most of the wiring in India's electric two-wheelers.

Much of the distance is structural. The wiring harness is a conventional component and accounts for most of Dhoot's revenue. The production-linked incentive scheme for automobiles and auto components is designed around battery-electric and hydrogen fuel cell vehicles, and its incentive period ends this financial year. The government has not said what will replace it.

The newer side of the business sits closer to what such schemes reward. Dhoot makes sensors, controllers, on-board chargers and charging ports, and assembles battery packs. It is also backwards integrated into cables, connection systems and insulation, which helps it meet the domestic value addition requirements these programmes are based on.

The company has grown from Rs 900 crore in FY19 to Rs 4,626 crore in FY26 without any of it.