Salcomp, the world’s largest mobile phone charger maker, is scouting for ready facilities in Noida . The development comes within a month of the government proposing incentives for local manufacturing of peripherals.Salo, Finland-based Salcomp plans to set up two factories in India which will have a combined peak capacity of 100 million units and generate employment for about 2,500 people, said Sasikumar Gendham, managing director of Salcomp India.“We’re looking for leased space in Noida DTA (domestic tariff area) for one factory and another one will be set up in Southern India,” Gendham said. “We will begin the first factory by second half of this year, with about 40 million peak capacity, and expand to the second in phased manner.”An investment of Rs 130-150 crore would be needed for manufacturing at such scale, he said.In the Union Budget last month, the government increased the levy on imports of peripheral products such as chargers, batteries, headsets and speakers, creating a duty differential of 27% compared with those manufactured locally.“Just making chargers locally can generate employment for up to 1 lakh people,” Gendham said.India is the Finnish company’s second largest manufacturing base for chargers after China . The company set up its India factory in 2007 in Nokia’s special economic zone, mainly for exports and to supply to local players like Samsung. Supplies from its Sriperumbudur factory would attract import duties of 29.44%, in turn making the supplies from this factory that much more expensive for phone makers.Component makers say that though the government move to propel local manufacturing is a good one, a phased approach with regard to timelines would have given manufacturers time for implementation.The Indian Cellular Association, which represents interests of handset and peripheral makers in the country, has already sought an extension of the deadlines to June, 2016 for charger makers and September, 2016 for those making batteries. The government is yet to take a call on the issue.Meanwhile, local companies including Micromax are gearing up increase production. Gurgaon-based Adit Infratel said it is investing Rs 25 crore to begin production of 60,000 mobile batteries and 20,000 mobile chargers every day from its Manesar plant from the first week of April.Micromax said it has already made chargers locally and is working towards manufacturing batteries too.Hong-Kong-based Binatone said it will invest Rs 340 crore to set up two factories for making modems, routers and CCTV cameras, among other electronic equipment here. Imports of these products has also been made expensive.