The government is considering broadening the scope of its flagship Production Linked Incentive (PLI) scheme to include more products in the textiles, food processing, and pharmaceutical sectors. The move aims to boost domestic manufacturing and exports.
Currently, the PLI scheme covers 14 sectors, including mobile manufacturing, electronics, and automobiles. The government has allocated Rs 160.92 billion for these schemes in the current fiscal year, marking an 88 per cent increase over the previous year.
While the PLI schemes for electronics and white goods have shown promising results, those for textiles and steel have yet to gain significant traction. To address this, the government is contemplating reducing the investment threshold for the textile PLI scheme, expanding its coverage to include more man-made fabric products, and potentially bringing apparel under its umbrella.
In addition to the textiles sector, the government is also considering new PLI schemes for toys, leather and footwear, with a combined outlay of Rs 60.89 billion. These proposals are currently awaiting cabinet approval.
The PLI scheme has been a cornerstone of the government’s Make in India initiative, offering incentives to domestic manufacturers to boost production and exports. The government is hopeful that expanding the scheme will further strengthen India’s manufacturing capabilities and create new job opportunities.
