Indian Economy News

Governent plans to roll out PLI scheme to encourage container manufacturing

  • IBEF
  • November 14, 2022

To promote container manufacturing in India, the Center is developing a new production-linked incentive (PLI) scheme. Funding for the scheme might come in part from savings from PLI schemes that are already in place.

In order to fund the new PLI scheme, a portion of the savings totaling Rs. 11,484 crore (US$ 1.42 billion) will be redistributed, according to a decision made by a powerful group of secretaries led by Cabinet Secretary Mr. Rajiv Gauba.

India currently imports a sizable portion of its containers from China because it lacks a thriving market for container manufacturing. Container supply from China had suffered significantly during the pandemic, sparking a huge frenzy in container markets around the world. An official claimed that the container market was more negatively impacted by global trade uncertainties than by the general slowdown in the economy.

It is anticipated that domestic container production will lessen India’s reliance on China while also reducing logistics expenses.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.