• Source:JND

Production Linked Incentive Scheme News: The government on Friday informed that it has disbursed Rs 28,748 crore under the production-linked incentive (PLI) scheme till December last year since the launch of the support measure to boost domestic manufacturing. The disbursement was made to applicants from sectors including electronics, pharma, and other sectors

The Union government announced PLI schemes to incentivise companies manufacturing goods in India instead of importing from other countries. The scheme was launched in 2021, with an outlay of Rs 1.97 lakh crore.

As per the government, under the scheme, 836 applications have been approved in 14 sectors till December 2025, involving cumulative investment of over Rs 2.16 lakh crore, registering cumulative sales of over Rs 20.41 lakh crore and exports of over Rs 8.3 lakh crore.

"It has generated employment for more than 14.39 lakh people. "Rs 28,748 crore (has been) disbursed as on December 31, 2025," the govt said.

Which Sectors Benefit The Most

The 14 sectors include large-scale electronics manufacturing, pharmaceuticals, bulk drugs, medical devices, IT hardware, telecom and networking products, food processing, white goods, speciality steel, drones, automobiles and auto components, and textile products.

The government said the scheme has helped India reduce its import of mobile phones by nearly 77 per cent since 2020-21, and now more than 99 per cent of domestic demand is met through local production.

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Manufacturing has expanded beyond assembly to include printed circuit board assemblies, batteries, camera and display modules, enclosures and other key sub-assemblies, enabling deeper integration with global value chains.

The PLI scheme for pharma and medical devices has enabled domestic manufacturing of 191 bulk drugs for the first time, resulting in import substitution of about Rs 1,785 crore and an increase in domestic value addition of 83.7 per cent, it said.

For the automobile sector, the scheme has catalysed investments in electric mobility, power electronics and advanced safety systems.

"Reported sales of Rs 32,879 crore in 2025-26 indicate early momentum in technology-led automotive manufacturing and supplier ecosystem development," the government noted.

Networking And Telecom

Similarly, sales of telecom and networking products increased by more than six times compared to the base year (2019-20), while exports increased to Rs 21,033 crore. In the food processing sector, PLI has raised investments of over Rs 9,200 crore in approved projects.

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Domestic manufacturing has started for key components such as compressors, motors, copper tubes and LED drivers. The government has set a target of increasing domestic value addition to 75-80 per cent by 2028-29.

Further, under Tranches I and II, the PLI scheme for solar modules targets 48 GW of fully integrated solar PV manufacturing capacity, with investment commitments of around Rs 52,942 crore.

(With agencies inpust)


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