Union Cabinet approves PLI scheme for 10 key sectors

The Union Cabinet has approved a production linked incentive (PLI) scheme for 10 key sectors for enhancing India’s manufacturing capabilities and exports.These sectors include Telecom and Networking Products, Pharmaceutical and Drug, Automobile and Auto components, Textile products and Food products. Briefing reporters after the cabinet meeting on Wednesday Information and Broadcasting Minister Prakash Javadekar said the scheme will make Indian manufacturers globally competitive, attract investment and enhance exports. He said, this will also increase production, export and employment opportunities in the country.

The Cabinet Committee on Economic Affairs, CCEA has approved continuation and revamping of the Scheme for Financial Support to Public Private Partnerships in Infrastructure Viability Gap Funding Scheme till 2024-25 with a total outlay of eight thousand 100 crore rupees. The aim of this Scheme is to promote Public Private Partnerships in social and economic infrastructure for efficient creation of assets, their proper operation and maintenance and make the economically and socially essential projects commercially viable. The Central Government will provide a maximum of 30 per cent of Total Project Cost of the project and the State Government or Sponsoring Central Ministry will provide additional support up to 30 percent of Total project cost. The new Scheme will come into force within one month.
Industry body FICCI has said that the announcement of PLI scheme for ten sectors by the Government today is a major boost for the manufacturing sector. FICCI President Dr Sangita Reddy said, the sectors covered under the PLI scheme are strategic and technology intensive and are also important from the perspective of employment generation in the country. She said, Indian economy offers a huge opportunity for these sectors not just from the domestic market perspective but also to make India an export hub for these products.