The government is considering a four-year extension of the Production-Linked Incentive (PLI) scheme for textiles, along with relaxed eligibility criteria to encourage greater participation from micro, small and medium enterprises (MSMEs).
The proposed extension would mark the scheme’s fourth round, offering another opportunity to companies that were not selected in the previous rounds to qualify for incentives.
The government is also considering lowering the minimum investment and turnover thresholds to make the scheme more accessible to smaller businesses and improve its effectiveness.
Approved in September 2021 with an outlay of Rs10,683 crore, the scheme aims to promote large-scale manufacturing of man-made fibre (MMF) apparel, MMF fabrics and technical textiles, while strengthening India’s position in global textile value chains.
It includes a two-year gestation period covering FY23 and FY24, followed by five performance years from FY25 to FY29, and is operational until FY30.
The government has approved 170 companies under the PLI scheme for textiles, with total committed investments of around Rs 41,500 crore, more than double the original Cabinet projection of Rs 19,000 crore.
These include Anand Rayon Limited, Shyam Lal Goyal Fabrics Private Limited, Sekhani Industries Private Limited, Texport Industries Private Limited, Bright Packaging Private Limited, Purplestar Hygiene Private Limited and 3B Advanced Composites Private Limited (formerly Goa Glass Fibre Limited).
Other approved companies include Gainup Industries India, Autoliv India Pvt. Ltd., Ranga Weaves India Private Limited, Blueline Apparels Private Limited, Velatal Industries Private Limited, Gokaldas Exports, Pearl Global Industries, Pratibha Syntex, Evertop Textile & Apparel Complex Private Limited and Amrutanjan Health Care Limited.
The list also includes New Zeel Fashion Wear Private Limited, Infiiloom India, Creative Textile Mills Private Limited, Adhiraj Spinning & Weaving Mills Private Limited, Sangam (India) Limited, RSWM Limited, Rad Global Private Limited, SVP Global Textiles Limited and Imagine Fibres Private Limited.
Of the approved companies, 89 fall under the technical textiles segment, with proposed investments of Rs 27,832 crore, projected turnover of Rs 1.69 lakh crore.
The man-made fibre (MMF) apparel segment accounts for 43 approved companies, with committed investments of Rs 7,613 crore, projected turnover of Rs 64,435 crore. Meanwhile, 38 companies have been approved under the MMF fabrics segment, with planned investments of Rs 6,087 crore, projected turnover of Rs 40,865 crore.
Gujarat accounted for the highest number of approved applicants, with 46 companies, followed by Maharashtra with 27 and Madhya Pradesh with 23.
