New Delhi: The government is exploring adjustments to its production-linked incentive (PLI) schemes, particularly targeting sectors such as textiles, food processing, and pharmaceuticals, according to a senior official on Tuesday. The official mentioned that a Cabinet note has been finalized to seek approval for these modifications from higher authorities. These adjustments are expected to enhance the attractiveness of these sectors, drawing in more participants.
Initially introduced in 2021 across 14 sectors, including telecommunications, white goods, textiles, medical device manufacturing, automobiles, specialty steel, food products, high-efficiency solar PV modules, advanced chemistry cell batteries, drones, and pharmaceuticals, the PLI scheme had an outlay of Rs 1.97 lakh crore.
Despite some sectors like electronics showing promising performance, others have lagged behind expectations.
Up to October this fiscal year, the government has disbursed Rs 4,415 crore under the PLI schemes for eight sectors, which include electronics and pharmaceuticals.
In the fiscal year 2024, a total of Rs 1,515 crore has been disbursed until October, compared to Rs 2,900 crore disbursed in 2022-23, when payments under the scheme began.
The incentive amount has been distributed for large-scale electronics manufacturing, IT hardware, bulk drugs, medical devices, pharmaceuticals, telecommunications, food processing, and drones.
These schemes are designed to attract investments and advanced technology into critical sectors, ensuring efficiency, fostering economies of scale in manufacturing, and positioning Indian companies and manufacturers as globally competitive entities.
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