Indian Economy News

Government disburses Rs. 1,596 crore (US$ 184.33 million) in six Production-Linked Incentive (PLI) schemes between April-September in FY25

  • IBEF
  • January 22, 2025

The Indian government has disbursed Rs. 1,596 crore (US$ 184.33 million) under the Production-Linked Incentive (PLI) schemes for six sectors, including electronics and pharma, during the H1 of the FY25 (April-September 2024). The PLI schemes, announced in 2021, cover 14 sectors, with an overall budget of Rs. 1,97,000 crore (US$ 22.75 billion). Of the total amount disbursed, Rs. 964 crore (US$ 111.34 million) was allocated to large-scale electronics manufacturing, followed by Rs. 604 crore (US$ 69.76 million) for the pharma sector. Smaller disbursals included food products Rs. 11 crore (US$ 1.27 million), telecom Rs. 9 crore (US$ 1.03 million), bulk drugs Rs. 6 crore (US$ 0.69 million), and drones Rs. 2 crore (US$ 0.23 million). 

By August 2024, the PLI schemes had already attracted investments of Rs. 1,46,000 crore (US$ 16.86 billion) across 14 sectors, generating over Rs. 12,50,000 crore (US$ 144.38 billion) in incremental production/sales, creating over 9.5 lakh jobs, and boosting exports to over Rs. 4,00,000 crore (US$ 46.20 billion). The schemes have also contributed significantly to the growth of the Micro, Small and Medium Enterprises (MSME) sector, as new ancillary units, critical to the supply chain of anchor units, are being built within it. The PLI schemes aim to enhance efficiency, promote technological innovation, and make Indian manufacturers globally competitive by driving economies of scale in key sectors. 

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

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