PLI scheme's advancement lags in important areas, impacting industrial objectives

This financial year, investment growth in textiles, IT hardware, and specialty steel is "significantly slow," according to a review report by an interministerial body that conducts periodic stocktaking of the program.

In FY24, the government had hoped for investments of Rs 49,682 crore. Of this, during the first nine months of this fiscal year, approximately Rs 30,695 crore, or 61.8%, has been made in all 14 sectors.

PLI schemes for mobile phones, bulk medications, pharmaceuticals, telecom, drones, and food processing are doing well and are on track to meet or surpass government-envisioned targets for investment, production/sales, and employment, according to an assessment conducted during a review meeting.“The progress of PLI Schemes of IT Hardware, Textile Products and Specialty Steel is significantly slow in terms of investments (in FY24),”

"Although the investment objective has been reached for bulk pharmaceuticals and medical devices under PLI Schemes, actual production and sales have fallen short of the target. The production and sales targets under the PLI Scheme for automobiles and auto components were met, but the investment target was not, as per the minutes.

The program has been introduced for fourteen industries, including white goods, pharmaceuticals, telephony, textiles, cars, and drones. Although the implementation of these 14 programs took place between 2020–2021 and 2021–2022, incentive payments to participating enterprises began in the most recent fiscal year.