Government has approved 52 new applications under Round III of the Production Linked Incentive (PLI) Scheme for Textiles. Out of these 52 approved applications, 05 are for Man-Made Fibre (MMF) Apparel, 19 for MMF Fabrics, 18 for Technical Textiles and 10 for multiple segment. These applicants have committed an investment of Rs.6708 cr with an expected turnover of Rs.21,186 cr.
Significance of Approved Proposals
- They are expected to provide a significant boost to the textile sector, particularly in the segments of Man-Made Fibre (MMF) fabrics, MMF apparel, and Technical Textiles.
- These investments will enhance domestic manufacturing capabilities, promote innovation, and strengthen India’s position in the global textile market.
About PLI Scheme for Textiles
- Launch Year: 2021
- Outlay: ₹10,683 crore.
- Duration: Valid for 5 years, operational up to FY 2029-30.
- Objectives:
- To enable the textile industry to achieve the necessary size and scale, become globally competitive, and create substantial employment opportunities.
- To promote high-value textile production, attracting investment, and generating employment opportunities across the country.
- Target Products:
- Specifically focuses on 64 notified HSN codes, including MMF apparel, MMF fabrics, and technical textile products (e.g., smart textiles, medical, and defense textiles)
- Investment Categories & Incentives:
- The scheme is divided into two parts with revised minimum investment and turnover thresholds effective from 1st August 2025:
| Feature | Part 1 (Large Scale) | Part 2 (SME/Mid-Scale) |
|---|---|---|
| Min. Investment | ₹150 crore (reduced from ₹300cr) | ₹50 crore (reduced from ₹100cr) |
| Min. Turnover (Yr 1) | ₹600 crore | ₹200 crore |
| Incentive Rate | 11% to 15% on incremental sales | 7% to 11% on incremental sales |
| Turnover Growth | At least 10% annual increase | At least 10% annual increase |