The Centre’s Production Linked Incentive (PLI) scheme has successfully attracted investments worth Rs 1.46 lakh crore to India’s manufacturing sector, resulting in the creation of over 9.5 lakh jobs, Commerce and Industry Minister Piyush Goyal shared in a recent Lok Sabha update.
As of now, a total of 764 applications have been approved under the PLI schemes, covering 14 different sectors. According to Goyal, by August 2024, this initiative has led to a total investment of Rs 1.46 lakh crore. The impact has been significant, with incremental production and sales exceeding Rs 12.50 lakh crore, while exports have crossed Rs 4 lakh crore.
Incentives provided under the scheme have also been substantial. In the years 2022-23 and 2023-24, Rs 2,968 crore were disbursed across eight sectors, while Rs 6,753 crore were distributed among nine sectors.
The PLI schemes are a crucial part of India’s vision to become more self-reliant. These schemes, which are targeted at 14 key sectors with a total outlay of Rs 1.97 lakh crore, are aimed at boosting manufacturing capabilities and expanding exports.
A report from Goldman Sachs highlights the growth of capital-intensive sub-sectors like electronics, chemicals, and machinery in India over the past decade. The country has seen significant increases in employment and exports in these sectors, thanks to government reforms that have improved competitiveness and driven sustainable economic growth.
The PLI schemes have played a central role in this transformation, supporting increased domestic production, driving technological innovation, and attracting both foreign and local investments. The government’s focus on industries such as electronics assembly, machinery, and pharmaceuticals has led to strong export growth, especially to developed markets, marking a shift towards higher-value products in India’s export basket.
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