Government Incentives Boost Manufacturing and Exports

In a significant move to enhance the country's manufacturing capabilities and exports, the Indian government has disbursed incentives totaling around Rs 14,020 crore under the Production Linked Incentive (PLI) schemes for 10 sectors. These sectors include large-scale electronics manufacturing, IT hardware, bulk drugs, medical devices, pharmaceuticals, telecom and networking products, food processing, white goods, automobiles & auto components, and drones & drone components.

Impact and Achievements of PLI Schemes

Launched in 2021, the PLI schemes cover 14 sectors and have shown significant impact across various sectors in India. They have incentivised domestic manufacturing, leading to increased production, job creation, and a boost in exports. As of now, 764 applications have been approved under the scheme for 14 key sectors, with 176 MSMEs among the beneficiaries in sectors such as bulk drugs, medical devices, pharma, telecom, white goods, food processing, textiles, and drones.

Investment and Employment Generation

An actual investment of around Rs 1.6 lakh crore ($18.7 billion) has been reported till November 2024, generating production/sales of around Rs 14 lakh crore (around $162.8 billion) against the target of Rs 15.5 lakh crore up to FY 2024-25. The scheme has helped create indirect and direct employment of over 11.5 lakh, according to the commerce and industry ministry.