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GOVERNMENT OF INDIA
MINISTRY OF STEEL
LOK SABHA
UNSTARRED QUESTION NO. 1496
FOR ANSWER ON 28.07.2026
REVIEW OF PLI SCHEME FOR SPECIALTY STEEL
1496. SHRI K E PRAKASH:
Will the Minister of STEEL be pleased to state:
(a) whether the Union Government has reviewed the participation of different States
under the Production Linked Incentive (PLI) Scheme for Specialty Steel with reference
to the geographical distribution of approved projects, investments and beneficiaries;
(b) whether the Government has received any representations from industry bodies,
steel manufacturers and MSMEs regarding greater location of beneficiary
manufacturing facilities including Tamil Nadu, in the PLI Scheme for Specialty Steel
and allied manufacturing sectors;
(c) whether the Union Government proposes any measures to enhance participation
of MSME-based steel and engineering units in industrial clusters of Tamil Nadu
including Erode District where engineering and fabrication MSMEs operate under
existing and future phases of the PLI Scheme; and
(d) whether any policy initiatives are under consideration to promote wider regional
dispersal of investments, value-added steel manufacturing and downstream industrial
development through the PLI framework?
ANSWER
THE MINISTER OF STATE IN THE (SHRI BHUPATHIRAJU SRINIVASA VARMA)
MINISTRY OF STEEL
(a)to(d): To participate in the Production Linked Incentive (PLI) Scheme for Specialty
Steel a company must be registered in India, commit to produce the specialty steel
products by adhering to the investment and capacity thresholds, and have a net worth
of at least 30 per cent of the committed investment. To facilitate wider participation
from companies including MSMEs, eligibility criteria were relaxed in the third round of
the scheme.
The Scheme is applicable for all states in India. 167 projects of 100 companies
from 15 States have been approved, which includes six projects in Tamil Nadu.
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