India's manufacturing sector is undergoing a significant transformation, driven by progressive policies designed to redefine its global footprint. At the heart of this transformation lies the Production Linked Incentive (PLI) Scheme, a testament to the government's visionary approach. This scheme is a key initiative aimed at establishing India as a global manufacturing hub by fostering innovation, enhancing efficiency, and boosting competitiveness across critical industries.
The PLI Scheme has demonstrated remarkable progress across 14 key sectors. As of August 2024, investments worth ₹1.46 lakh crore have been realized, resulting in incremental production/sales exceeding ₹12.50 lakh crore. This has generated over 9.5 lakh jobs and exports surpassing ₹4 lakh crore. Key contributors to this success include sectors like electronics, pharmaceuticals, and food processing.
Launched in 2020, the PLI Scheme is more than just a policy; it is a strategic initiative aligned with the vision of Atmanirbhar Bharat and the broader Make in India movement. Its objectives include strengthening the manufacturing backbone, reducing import dependency, and driving sustainable growth. With a total allocation of ₹1.97 lakh crore across 14 major sectors, the scheme underscores India’s commitment to becoming a self-reliant and globally competitive manufacturing powerhouse.
To date, 764 applications have been approved under the PLI Scheme across various sectors. Among these, the food products sector leads with 182 approvals, followed by automobiles and auto components (95), textile products (74), specialty steel (67), and white goods (66). Emerging industries such as drones and drone components secured 23 approvals, high-efficiency solar PV modules received 14 approvals, and advanced chemistry cell (ACC) batteries received four approvals. This diversity highlights the scheme’s focus on future-ready industries, reflecting its holistic approach to building a robust manufacturing ecosystem.
Preparing for the Future: The PLI Scheme is not only driving production growth but also fostering the development of ancillary units within the MSME sector. By bolstering the value chain, the scheme is paving the way for a dynamic and self-reliant industrial ecosystem.
As the backbone of industrial progress, manufacturing strength determines a nation's economic trajectory. The PLI Scheme is poised to position India as a leader in global manufacturing, creating a foundation for long-term economic growth and resilience.
