Parliament Question: Objectives of Production Linked Incentive (PLI) Scheme

GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE RAJYA SABHA UNSTARRED QUESTION NO. 3867. TO BE ANSWERED ON FRIDAY, THE 27TH MARCH, 2026. OBJECTIVES OF PRODUCTION LINKED INCENTIVE (PLI) SCHEME 3867. DR. JOHN BRITTAS: Will the Minister of Commerce and Industry be pleased to state: (a) details and objectives of subsidies under Production Linked Incentive (PLI) Scheme; (b) whether objectives such as employment generation, net domestic value addition, export obligations, etc., are prescribed for PLI subsidies; (c) total PLI allocation and amount expended so far by Government with sector-wise break up; (d) employment generation realised, sector-wise; (e) details of beneficiaries under the scheme; (f) selection criteria of beneficiaries when multiple firms applied in a particular field of manufacturing; and (g) State wise details of foreign companies which migrated to India by availing/anticipating to avail benefits under PLI Scheme? ANSWER THE MINISTER OF STATE IN THE MIN ISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA) (a): The Production Linked Incentive (PLI) Schemes have been launched by the Government of India across 14 key sectors with an overall approved outlay of about ₹1.91 lakh crore, with the objective of strengthening India’s manufacturing ecosystem, enhancing exports, and making the country a global manufacturing hub. The schemes provide financial incentives to eligible companies on incremental production/sales of goods manufactured in India over a defined base year, thereby encouraging scale, efficiency, and global competitiveness. The 14 sectors covered under the PLI Schemes are as follows: i. Large Scale Electronics Manufacturing ii. IT Hardware iii. Telecommunication and Networking Products iv. Pharmaceuticals v. Medical Devices vi. Bulk Drugsvii. Automobiles and Auto Components viii. Advanced Chemistry Cell (ACC) Battery Storage ix. Textile Products (MMF apparel, MMF fabrics, and technical textiles) x. Food Processing Industry xi. High Efficiency Solar PV Modules xii. White Goods (Air Conditioners and LED Lights) xiii. Specialty Steel xiv. Drones and Drone Components (b): The PLI Schemes prescribe sector-specific eligibility criteria and performance parameters, which are detailed in the respective scheme guidelines issued by the concerned Ministries/Departments based on the requirements and characteristics of each sector. While the eligibility conditions vary across sectors, the schemes broadly assess performance on key parameters such as incremental production/sales over the base year, achievement of committed investment thresholds, employment generation, and in some sectors domestic value addition. These parameters are designed to ensure that incentives are linked to actual manufacturing performance and contribute to the overall objectives of PLI Scheme. (c) to (e): The total outlay of the PLI schemes is about ₹1.91 lakh crore. As of December 2025, a cumulative incentive of ₹28,748 crore has been disbursed. The schemes have generated around 14.39 lakh (direct and indirect) employment across 14 sectors. Further, 836 applications have been approved under these sectors. The sector-wise details of outlay allocation, incentives disbursed, employment generated, and applications approved are provided in Annexure-I. (f): Selection of beneficiaries under the PLI schemes is carried out through a transparent and competitive process in accordance with the provisions of the respective scheme guidelines. Applications received are examined by the implementing Ministries/Departments, with the support of Project Management Agencies (PMAs), on the basis of prescribed eligibility criteria and performance parameters. Based on such evaluation, eligible applicants are approved by the competent authority. Applications are evaluated based on predefined parameters such as proposed investment, incremental production/sales, domestic value addition, technological capability, and overall financial and technical capacity of the applicant. (g): State wise information of foreign companies migrated to India by availing/anticipating to avail benefits under PLI Schemes is not maintained. However, sector wise details are as under: Sl. Sectors No. of foreign companies No. approved under PLI Scheme 1 Large Scale Electronics Manufacturing 13 2 Telecom & Networking Products 07 3 White Goods (ACs & LEDs) 15 4 IT Hardware 04 5 Medical Devices 02 6. High Efficiency Solar PV Modules (Tranche I) 01 High Efficiency Solar PV Modules (Tranche II) TOTAL 42 *******ANNEXURE-I ANNEXURE REFERRED TO IN REPLY TO PARTS (c) to (e) RAJYA SABHA UNSTARRED QUESTION NO. 3867 FOR ANSWER ON 27TH MARCH, 2026 Sector-wise allocated outlay, incentive disbursed, approved applications & employment generated under PLI Schemes till December 2025 are as under: Sl. Sectors Allocated Outlay Incentive Approved Employment No. (Rs. Crore) Disbursed Applications Generated (Rs. Crore) 1 Pharmaceuticals 15,000 6,022 55 1,12,094 Drugs 2 Large Scale 34,193 15,473 32 1,78,413 Electronics Manufacturing 3 Telecom & 12,195 1,859 42 29,661 Networking Products 4 Food Products 10,900 2,163 168 3,29,200 5 Bulk Drugs 6,940 55 48 4,896 6 Manufacturing of 3,420 157 28 5,458 Medical Devices 7 White Goods (ACs 6,238 281 80 61,555 & LEDs) 8 Drones and Drone 120 93 23 2,650 Components 9 IT Hardware 17,000 81 27 4,776 10 Automobiles & 25,938 2377 72 61,241 Auto Components 11 Textile Products: 10,683 55 74 31,283 MMF Segment and Technical Textiles High Efficiency 4,500 0 12 Solar PV Modules 12 (Tranche I) 13,607 High Efficiency 19,500 0 Solar PV Modules (Tranche II) 13 Advance Chemistry 18,100 0 4 1,118 Cell (ACC) Battery 14 Specialty Steel 6,322 132 171 13,078 Total 1,91,049 28,748 836 8,49,030 Reported Indirect Employment from 3 sectors (LSEM, IT Hardware 5,90,388 & Solar PV Modules) Total 14,39,418 *******