Lok Sabha Question No. 4022 (UNSTARRED), answered on 2025-03-25
Subject: PLI Scheme in Manufacturing Sector
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Navaskani K, Shri Selvam G

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

UNSTARRED QUESTION NO. 4022.

TO BE ANSWERED ON TUESDAY, THE 25 TH  MARCH, 2025.

## PLI SCHEME IN MANUFACTURING SECTOR

## 4022.  SHRI NAVASKANI K: SHRI SELVAM G:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

वाणिज्य एवं उद्योग मंत्री

- (a) whether  the  Production  Linked  Incentive  (PLI)  Scheme  has  significantly transformed the manufacturing sector since its launch in 2020, if so, the details of the sectors that have seen maximum growth under the scheme;
- (b) the total amount disbursed under the PLI Scheme so far;
- (c) the estimated increase in domestic production and exports due to this initiative;
- (d) whether the benefits of the PLI Scheme have been equitably distributed in all States including Tamil Nadu;
- (e) the number of manufacturing units established or expanded under this scheme, sector-wise especially in Tamil Nadu;
- (f) whether the PLI Scheme has led to a significant rise in exports from India, if so, the export growth figures for key sectors covered under PLI Scheme; and
- (g) the impact of PLI scheme on reducing trade deficits and import dependency and the measures being taken to enhance export competitiveness under the Scheme?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a) to (g):

Keeping in view India's vision of becoming 'Atmanirbhar', Production Linked Incentive (PLI) Schemes for 14 key sectors were announced with an outlay of Rs. 1.97 lakh crore to enhance India's Manufacturing capabilities and Exports.

The  14  sectors  are:  (i)  Mobile  Manufacturing  and  Specified  Electronic Components, (ii) Critical Key Starting Materials/Drug Intermediaries & Active Pharmaceutical Ingredients, (iii) Manufacturing of Medical Devices (iv) Automobiles and Auto Components, (v) Pharmaceuticals Drugs, (vi) Specialty

Steel,  (vii)  Telecom  &  Networking  Products,  (viii)  Electronic/  Technology Products, (ix) White Goods (ACs and LEDs), (x) Food Products, (xi) Textile Products: MMF segment and technical textiles, (xii) High efficiency solar PV modules, (xiii) Advanced Chemistry Cell (ACC) Battery, and (xiv) Drones and Drone Components.

The purpose of the PLI Schemes is to attract investments in key sectors and cutting-edge technology; ensure efficiency and bring economies of size and scale in the manufacturing sector and make Indian companies and manufacturers  globally  competitive.  These  schemes  have  the  potential  of significantly boosting production, employment and economic growth over the next five years or so.

Approved  products  under  PLI  Schemes  have  been  strategically  selected  to align  with  national  goals,  increase  production  capacity,  enhance  global competitiveness and promote exports in critical sectors such as electronics, renewable energy, pharmaceuticals, textiles etc., ensuring their alignment with the objectives of Make in India and Atmanirbhar Bharat.

PLI Schemes for all 14 Sectors have been notified by the concerned Ministries/ Departments  after  due  approval.  These  Schemes  are  in  various  stages  of implementation by the implementing Ministries/ Departments. As on date, 764 applications have been approved under PLI Schemes across 14 sectors. The details  of  the  sector  wise  number  of  manufacturing  units  established  or expanded  under  the  scheme  in  Tamil  Nadu  is  placed  at  Annexure  I.  The schemes  are  applicable  across  India,  and  the  selection  of  the  investment location is at the discretion of the applicants.

Actual investment of Rs. 1.61 lakh crore have been realized till December 2024 across 14 sectors, which has resulted in incremental production/sales of over Rs. 14 lakh crore and employment generation of over 11.5 lakhs (direct and indirect). Cumulative incentive amount of Rs. 13,029 crore have been disbursed till  December  2024  under  PLI  Scheme  for  9  sectors,  namely  Large  Scale Electronics Manufacturing (LSEM), IT Hardware, Bulk Drugs, Medical Devices, Pharmaceuticals,  Telecom  &  Networking  Products,  Food  Processing,  White Goods, and Drones & Drone Components.

PLI  Schemes  have  witnessed  exports  surpassing  Rs.  5  lakh  crore  with significant contributions from sectors such as electronics, pharmaceuticals, and food  processing.  India's  electronics  manufacturing  sector  has  witnessed  a substantial increase under the PLI scheme, transforming from a net importer to a net exporter of mobile phones. The Domestic production of mobile phones grew from 5.8 crore units in 2014-15 to 33 crore units in 2023-24, with imports dropping significantly. Exports reached 5 crore units while only 0.3 crore units were imported in 2023-24. The PLI scheme has also bolstered India's status in the global pharmaceuticals market, establishing it as the third-largest producer by  volume.  Exports  now  constitute  50%  of  the  nation's  pharmaceutical production, and India has decreased its dependency on imports by domestically manufacturing essential bulk drugs such as Penicillin G. Under the PLI scheme for  Medical  Devices,  19  green-field  projects  have  been  commissioned  and production of 44 products including high end medical devices such as Linear Accelerator,  MRI  machines,  CT-Scans,  Mammograms, C- Arms, Ultrasound machines  etc.,  which  were  previously  imported  into  the  country,  has  also started.

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ANNEXURE

## ANNEXURE REFERRED TO IN REPLY TO PARTS (a) to (g) OF THE LOK SABHA UNSTARRED QUESTION 4022 FOR ANSWER ON 25.03.2025.

| Sl. No.   | Sectors                                                                                  |   No. of manufacturing units |
|-----------|------------------------------------------------------------------------------------------|------------------------------|
| 1.        | Mobile Manufacturing and Specified Electronic Components                                 |                            6 |
| 2.        | Electronic/ Technology Products                                                          |                            1 |
| 3.        | Critical Key Starting Materials/ Drug Intermediaries & Active Pharmaceutical Ingredients |                            2 |
| 4.        | Manufacturing of Medical Devices                                                         |                            2 |
| 5.        | Pharmaceuticals Drugs                                                                    |                           16 |
| 6.        | Advanced Chemistry Cell (ACC) Battery                                                    |                            1 |
| 7.        | Automobiles & Auto Components                                                            |                           46 |
| 8.        | Telecom & Networking Products                                                            |                           14 |
| 9.        | Textile Products: MMF Segment and Technical Textiles                                     |                           11 |
| 10.       | Food Products                                                                            |                           12 |
| 11.       | High-Efficiency Solar PV Modules                                                         |                            3 |
| 12.       | White Goods (ACs & LED)                                                                  |                            7 |
| 13.       | Specialty Steel                                                                          |                            1 |
| 14.       | Drones and Drone Components                                                              |                            3 |
| TOTAL     | TOTAL                                                                                    |                          125 |

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