Lok Sabha Question No. 2074 (UNSTARRED), answered on 2023-08-02
Subject: Production Linked Incentive Scheme
Ministry: COMMERCE AND INDUSTRY
Asked by: Balashowry Vallabbhaneni

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

## LOK SABHA

UNSTARRED QUESTION NO. 2074.

TO BE ANSWERED ON WEDNESDAY, THE 02 ND  AUGUST, 2023.

## PRODUCTION LINKED INCENTIVE SCHEME

## 2074.  SHRI BALASHOWRY VALLABHANENI:

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

## वाणिज्य एवं उद्योग मंत्री

- (a) the performance and outcome of Production Linked Incentive (PLI) scheme being implemented for various sectors, sector-wise;
- (b) the details of money spent out of Rs. 1.97 lakh crores allocated for PLI till June, 2023, sector-wise;
- (c) the details of MSMEs that have been benefited from PLI scheme;
- (d) whether the Government is thinking to extend PLI to toys, leather and e-bikes; and
- (e) if so, the details thereof?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री सोम प्रकाश ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI SOM PARKASH)

Keeping in view India's vision of becoming 'Atmanirbhar', Production Linked Incentive (PLI) Schemes for 14 key sectors have been announced with an outlay  of  Rs.  1.97  lakh  crore  (over  US$26  billion)  to  enhance  India's

- (a) & (b): 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.

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.

- (c): The PLI scheme is expected to have a cascading effect on the country's MSME ecosystem. The anchor units that will be built in every sector are likely to set a new supplier/vendor base in the entire value chain. Most of these ancillary units are expected to be built in the MSME sector. Out of the 733 applications  selected  under  various  PLI  Schemes,  176  MSMEs  are among  the  PLI  beneficiaries  in  sectors  such  as  Bulk  Drugs,  Medical Devices,  Pharma,  Telecom,  White  Goods,  Food  Processing,  Textiles  & Drones.
- (d) & (e): All  the  approved  sectors  identified  under  PLI  Schemes  follow  the  broad criteria  of  focusing  on  key  technologies  where  India  can  leapfrog and multiply  employment,  exports  and  overall  economic  benefits  for  the economy. These sectors were approved after vetting by NITI Aayog and after detailed deliberations with concerned Ministries/ Departments. As on date, Union Cabinet has not approved any proposal to add any new sectors under PLI Schemes.

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