The Indian government has disbursed ₹14,020 crore under its Production-Linked Incentive (PLI) schemes across 10 key sectors, a major push in its plan to boost domestic manufacturing and exports, according to a recent statement from the Ministry of Commerce and Industry.
Since the launch of the PLI schemes in 2021, 14 sectors have been covered with a total outlay of ₹1.97 trillion. The sectors currently receiving disbursals include large-scale electronics, IT hardware, pharma, medical devices, telecom, white goods, food processing, auto components, bulk drugs, and drones.
MSMEs Among Core Beneficiaries
Of the 764 applications approved under the schemes, 176 are MSMEs, receiving support in sectors such as bulk drugs, food processing, telecom, white goods, and medical devices. These small and mid-sized businesses are now scaling production, accessing new markets, and contributing to employment.
The scheme has helped generate over ₹14 trillion in total production, ₹5.31 trillion in exports, and created employment for more than 11.5 lakh people, as per government data up to November 2024.
Investment Trends and Sector Updates
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Specialty steel has attracted ₹20,000 crore in investments, with ₹48 crore disbursed so far. A second round of the scheme has received interest from 35 companies, who have committed ₹25,200 crore in fresh investments.
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In food processing, ₹474 crore was disbursed in FY23, and a target of ₹700 crore for FY24 is on track. The sector currently has 171 active beneficiaries.
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The electronics and pharmaceutical sectors have made significant contributions to exports under the PLI initiative.
The government emphasized that projects are implemented over two to three years, and incentive claims are generally made after the first year of production, meaning more disbursals are expected in future phases.
Also read: India’s PLI Push Expands Tech Exports: Ashwini Vaishnaw
A Long-Term Vision for Competitive Manufacturing
The PLI schemes aim to attract long-term investments, strengthen domestic supply chains, bring in cutting-edge technology, and build scale and efficiency across Indian manufacturing. The model supports a shift from import dependence to export leadership, while ensuring sector-specific growth and job creation.
As ministries continue reviewing and implementing PLI disbursals, the strong participation from MSMEs signals a broader industry transformation, making Indian firms more competitive on the global stage.