In news- The government has approved the PLI Scheme for Textiles for MMF Apparel, MMF Fabrics and 10 segments/ products of Technical Textiles with a budgetary outlay of Rs. 10,683 crore.
About the scheme-
- Production Linked Incentive (PLI) scheme for Textiles is part of the overall announcement of PLI Schemes for 13 sectors made earlier during the Union Budget 2021-22, with an outlay of Rs. 1.97 lakh crore.
- With the announcement of PLI Schemes for 13 sectors, minimum production in India is expected to be around Rs. 37.5 lakh crore over 5 years and minimum expected employment over 5 years is nearly 1 crore.
- The PLI scheme for Textiles will promote production of high value MMF Fabric, Garments and Technical Textiles in the country.
- The incentive structure has been so formulated that industry will be encouraged to invest in fresh capacities in these segments.
Types of investments under the scheme-
- There are two types of investment possible.
- Any person, (which includes firm / company) willing to invest minimum ₹300 Crore in Plant, Machinery, Equipment and Civil Works (excluding land and administrative building cost) to produce products of Notified lines (MMF Fabrics, Garment) and products of Technical Textiles, shall be eligible to apply for participation in first part of the scheme.
- In the second part any person, (which includes firm / company) willing to invest a minimum ₹100 Crore shall be eligible to apply for participation in this part of the scheme.
- In addition, priority will be given for investment in Aspirational Districts, Tier 3, Tier 4 towns, and rural areas and due to this priority Industry will be incentivized to move to backward areas.
- This scheme will positively impact especially States like Gujarat, UP, Maharashtra, Tamilnadu, Punjab, AP, Telangana, Odisha etc.
Technical Textiles segment
- The Technical Textiles segment is a new age textile, whose application in several sectors of economy, including infrastructure, water, health and hygiene, defense, security, automobiles, aviation, etc. will improve the efficiencies in those sectors of economy.
- Government has also launched a National Technical Textiles Mission in the past for promoting R&D efforts in that sector.