The Government of India under the leadership and guidance of Hon’ble Prime Minister Shri Narendra Modi, has announced the revised Product Linked Incentive (PLI) Scheme by incorporating some of the major product lines of MMF fabrics, Technical Textiles, etc. having global export potential.
In the Union Budget 2021-22, presented on 1st February 2021, the Finance Minister announced an outlay of INR 1.97 Lakh Crores for the Production-Linked Incentive (PLI) Schemes for 13 key sectors including the MMF textiles segment, to create national manufacturing champions and generate employment opportunities for the country’s youth. The minimum production in India as a result of PLI Schemes is expected to be over US$ 500 billion in 5 years.
SRTEPC Chairman Shri Dhiraj R. Shah and Committee of Administration thanks Hon’ble Prime Minister Shri Narendra Modi, Hon’ble Finance Minister Smt. Nirmala Sitharaman, Hon’ble Minister of Textiles, Commerce, Industry and Consumer Affairs, Food and Public Distribution Shri Piyush Goyal, Hon’ble Minister of State for Textiles and Railways Smt. Darshana V Jardosh for introducing the Scheme and revision of the product lines covering major product lines of MMF fabrics, Technical Textiles, etc. that have huge potential to export globally. Some of the salient features of the Scheme are as mentioned below:
- Incentives worth Rs, 10,683 crore over 5 years for manufacturing the notified products
- There are two types of investment possible with different set of incentive structure.
- Any person, (which includes firm / company) willing to invest minimum ₹300 Crore in Plant, Machinery, Equipment and Civil Works (excluding land and administrative building cost) to produce products of Notified lines (MMF Fabrics, Garment) and products of Technical Textiles, shall be eligible to apply for participation in first part of the scheme.
- In the second part any person, (which includes firm / company) willing to invest minimum ₹100 Crore shall be eligible to apply for participation in this part of the scheme. In addition, priority will be given for investment in Aspirational Districts, Tier 3, Tier 4 towns, and rural areas and due to this priority Industry will be incentivized to move to backward area. This scheme will positively impact especially States like Gujarat, UP, Maharashtra, Tamilnadu, Punjab, AP, Telangana, Odisha, etc.
Informing about the encouragement from the revision of the PLI Scheme for textiles Shri Dhiraj R. Shah, Chairman SRTEPC mentioned that the Scheme has received resounding appreciation among the stakeholders and it is likely to give substantial boost to both production and exports of MMF Garments, MMF Fabrics, Technical Textiles and thereby giving substantial boost to the entire MMF textile value chain. He mentioned that the Technical Textiles is the sunrise sector having tremendous potential in India and globally. The PLI Scheme is likely to help creating production hubs of Technical Textiles in India. He also said, “We specially thank the Hon’ble Textile Minister Shri Piyush Goyal and Smt. Darshana V Jardosh and their team of officers in the Ministry of Textiles for their kind consideration of covering the fabrics segment under the PLI Scheme”. This will not only empower the weaving segment but also will help in substantial value addition in the downstream value chain and generate employment in the MMF textile segment, Shri Dhiraj R. Shah, Chairman SRTEPC added.
Shri Bhadresh Dodhia, Vice-Chairman, SRTEPC informed that the PLI Scheme will be instrumental for the Indian MMF textiles segment to compete globally and take on the highly subsidized exports from competing countries. It will be in line with the “Make in India”, “AatmaNirbhar Bharat” initiatives of the Government by enhancing domestic manufacturing of the MMF textiles and hold export dominance globally.
Before finalisation of the product lines of the PLI Scheme, the SRTEPC had interactions with the Ministry and suggested for expansion of product lines from both MMF fabrics and technical textiles. Accordingly, Ministry showed positive consideration by increasing the product lines in both fabrics and technical textiles which is going to give a big boost to the MMF textiles segment, SRTEPC Chairman Shri Dhiraj R. Shah informed.
