The government is looking at notifying the production-linked incentive (PLI) scheme, that was announced to boost domestic manufacturing, for sectors like auto components, steel, and textiles. Additional Secretary in the Department for Promotion of Industry and Internal Trade (DPIIT) Sumita Dawra said that the government introduced the PLI scheme to encourage an incentive-led model for manufacturing, attracting advanced technologies, bringing in economies of scale and meeting quality standards.
"We are going as per strict timelines and we will now look to notify the scheme under auto components, steel, and textiles," she said at a PHDCCI webinar on 'Implications of PLI scheme on India's manufacturing and trade competitiveness' on Thursday.
She added that in the current pandemic time, multinational firms have realised the issues of concentrating their supply chains in a few geographies.
"So, India is pitching itself to be part of this global supply chain by attracting investments in these PLI sectors," Dawra said.
The government last year approved the PLI scheme for 13 sectors with a total outlay of nearly Rs 2 lakh crore over five years.
Speaking at the webinar, PHDCCI President Sanjay Aggarwal said that the scheme would help attract both domestic and foreign investments.
Kuntal Sharma, Economic Adviser, Ministry of Food Processing Industries, said that the sector holds huge scope for growth and expansion and the scheme will help in achieving that. "PLI will help increase value addition in the sector as currently it is less," he added.
Copyright©2021 Living Media India Limited. For reprint rights: Syndications Today