New Delhi (NVI): The Union Cabinet, chaired by Prime Minister Narendra Modi today approved the production linked incentive (PLI) scheme in 10 key manufacturing sectors.
This move will enhance India’s manufacturing capabilities, exports and employment, Union Minister Prakash Javadekar while announcing the decision.
The 10 key sectors that will get the benefit of production-linked incentive include automobiles and auto components, pharmaceuticals drugs, specialty steel, capital goods, technology products, white goods, telecom and networking products, textiles, high efficiency solar PV modules and advanced battery cells, an official statement said.
The scheme across these specific sectors will make Indian manufacturers globally competitive and attract investment in the areas of core competency.
It will also give cutting-edge technology, ensure efficiencies, create economies of scale, enhance exports, and make India an integral part of the global supply chain.
The statement further said that, Prime Minister Narendra Modi’s clarion call for an ‘AatmaNirbhar Bharat’ envisages policies for the promotion of an efficient, equitable and resilient manufacturing sector in the country.
“Growth in production and exports of industrial goods will greatly expose the Indian industry to foreign competition and ideas, which will help in improving its capabilities to innovate further,” it said.
Apart from this, “Promotion of the manufacturing sector and creation of a conducive manufacturing ecosystem will not only enable integration with global supply chains but also establish backward linkages with the MSME sector in the country. It will lead to overall growth in the economy and create huge employment opportunities,” the statement added.
The PLI scheme will be implemented by the concerned ministries and departments and will be within the overall financial limits prescribed.
However, the final proposals of PLI for individual sectors will be approved by the expenditure finance committee (EFC) and Union Cabinet, the statement noted.
“Savings, if any, from one PLI scheme of an approved sector can be utilized to fund that of another approved sector by the Empowered Group of Secretaries. Any new sector for PLI will require fresh approval of the Cabinet,” it added.
-RJV
