- Purpose of the Scheme
The Production Linked Incentive (PLI) Scheme is intended to promote production of MMF Apparel & Fabrics and, Technical Textiles products in the country to enable Textiles Industry to achieve size and scale; to become competitive and a creator of employment opportunities for people.
- About the Scheme
The scheme has been introduced in two parts as further explained and incentives under the scheme will be available for 5 years period i.e. during FY 2025-26 to FY 2029-30 on incremental turnover achieved during FY 2024-25 to FY 2028-29 with a budgetary outlay of Rs. 10,683 crore.
However, if a company is able to achieve the investment and performance targets one year early then, they will become eligible one-year in advance starting from 2024-25 to 2028-29 i.e. for 5 years
- Eligible Products
The scheme proposes to incentivise 40 products listed as MMF Apparel, 14 products listed as MMF Fabrics and 10 segments of Technical Textiles products listed. Turnover of MMF Apparel, Fabrics and products of Technical Textiles will be counted based on product description in GST invoice at 8-digit HS Code.
PART I
Investment
Minimum ₹300 Crore in Plant, Machinery, Equipment and Civil Works (excluding land and administrative building cost) to produce products of Notified lines, shall be eligible to apply for participation in this part of the scheme.
Turnover
Achieve a minimum of ₹600 Crore turnover by manufacturing and selling the products Notified under this scheme.
New registration
Applicant will form a separate company under Companies Act, 2013, before commencement of investment under this scheme.
Incentives
Performance Year (FY) | Incentives claim Year (FY) | Incentive (In %) |
2024-25 | 2025-26 | 15% |
2025-26 | 2026-27 | 14% |
2026-27 | 2027-28 | 13% |
2027-28 | 2028-29 | 12% |
2028-29 | 2029-30 | 11% |
PART II
Investment
Minimum ₹100 Crore in Plant, Machinery, Equipment and Civil Works (excluding land and administrative building cost) to produce products of Notified lines, shall be eligible to apply for participation in this part of the scheme.
Turnover
Achieve a minimum of ₹200 Crore turnover by manufacturing and selling the products Notified under this scheme.
New registration
Applicant will form a separate company under Companies Act, 2013, before commencement of investment under this scheme.
Incentives
Performance Year (FY) | Incentives claim Year (FY) | Incentive (In %) |
2024-25 | 2025-26 | 11% |
2025-26 | 2026-27 | 10% |
2026-27 | 2027-28 | 09% |
2027-28 | 2028-29 | 08% |
2028-29 | 2029-30 | 07% |
Our Publication on Textile PLI Scheme
