Production-Linked Incentive (PLI) Scheme for Textiles

Subject – Economy

Context – The Union Cabinet Wednesday approved a Production-Linked Incentive (PLI) scheme for the textiles sector worth Rs 10,683 crore.

Concept –

The scheme aims to attract fresh investment of Rs 19,000 crore in the sector for production of in-demand textiles, and additional turnover of Rs 3 lakh crore over five years.
This is part of a larger PLI scheme for 13 sectors, with a total budgetary outlay of 1.97 lakh crore.
The PLI scheme for textiles aims to promote the production of high value Man-Made Fibre (MMF) fabrics, garments and technical textiles.
Any person or company willing to invest a minimum of Rs 300 crore in plant, machinery, equipment and civil works (excluding land and administrative building cost) to produce products of MMF fabrics, garments and products of technical textiles will be eligible to participate in the first part of the scheme.
Investors willing to spend a minimum of Rs 100 crore under the same conditions shall be eligible to apply in the second part of the scheme.
The scheme would directly benefit the states of Gujarat, Uttar Pradesh, Maharashtra, Punjab, Tamil Nadu, Andhra Pradesh, Telangana and Odisha, as these were states where the textile sector is already growing.

To know more about PLI Scheme, please click here.