PRODUCTION LINKED INCENTIVE (PLI) SCHEME FOR TEXTILES

About:

• In case of insufficient number of eligible applications, the application window for selecting new applicants will be reopened.
  
  
• In their application, companies will have to inform the ministry of textiles regarding their annual investment plan, expected sales, turnover, expected employment generation as well as exports during the tenure of the scheme, according to the guidelines.
  
  
• Incentives worth Rs 10,683 crore will be provided over five years for manufacturing man-made fabrics, garments — jerseys, overcoats, trousers, polyester suitings and shirtings, among others.
  
  
• It will also be provided for technical textiles, which is a new-age textile that can be used for the production of PPE kits, airbags and bulletproof vests. It can also be used in sectors such as aviation, defence and infrastructure.
  
  
• The scheme obtained Cabinet approval in September and is focused on expanding man-made fabrics and technical textiles value chain to help India regain its dominant status in the global textiles trade.
  
  
• The scheme is operational from September 24, 2021 to March 31, 2030.
  
  
• According to the guidelines, there are two types of investments possible with different sets of incentive structures. Under the first part, any company willing to invest a minimum Rs 300 crore in plant, machinery, equipment and civil works will be eligible.
  
  
• Under part 2, any company willing to invest a minimum Rs 100 crore in plant, machinery, equipment and civil works will be eligible.