Why in the News?

The central government has introduced changes to the rules governing the production-linked incentive (PLI) scheme for white goods, specifically air conditioners and light-emitting diode lights, with the goal of ‘simplifying the scheme’s operations’ and promoting the ease of doing business, according to an official statement on Wednesday.

What are White Goods?

• Major home appliances, commonly known as white goods, encompass substantial household devices like stoves, refrigerators, freezers, washing machines, tumble dryers, dishwashers, and air conditioners.
• While these durable consumer durables were initially available only in white, contemporary options offer a variety of colours, yet they persistently retain the term "white goods."
• Renowned for their robustness and extended lifespan, white goods are engineered to endure the rigours of daily use.
• Additionally, the term "white goods" may extend to white fabrics, particularly linen or cotton, including items like curtains, towels, or sheets, which historically were crafted from white cloth.
• In the beverage industry, the term "white goods" refers to colourless spirits such as vodka or gin.

What is Brown Goods?

• Brown goods refer to relatively lightweight electronic consumer durables, including computers, digital media players, TVs, and radios.
• In contrast to large household appliances (white goods), brown goods are primarily geared towards entertainment, communication, and convenience.
• Typically featuring electronic components, these devices are designed to deliver audio, video, or data-related services as their primary functions.

What is Grey Goods?

• When a commodity is traded through distribution channels, which are unofficial but legal are known as the grey goods.
• They are goods that are traded in a specific area, where the manufacturer does not intend to sell the product, but with different specifications.
• Grey goods are sold without the knowledge of the original manufacturer.
• They are typically less costly than the ones that are available by the authorised distributor.
• Also, they might be made to pertain to some jurisdiction.
• Example: A factory-unlocked version of the iPhone. It is made to suit US standards but is sold in India for a lesser price than the iPhone made for Indian standards.
• When it comes to such Grey goods, the manufacturer does not provide any warranty for the product.