Centre plans overhaul of PLI schemes to boost MSME sector [Read More]

According to recent media reports, the government plans a significant overhaul of the Production-Linked Incentives (PLI) scheme, aiming to streamline fund release procedures, extend coverage to additional sectors like toys, furniture, and apparel, and introduce specific benefits for MSMEs in labor-intensive fields. \r

The revamped PLI scheme will also emphasize incentives for research and development (R&D) to bolster manufacturing capabilities. Notably, the scheme is shifting to a quarterly incentive release model from the previous annual disbursement system, except for cases where minimal payouts pose administrative challenges.\r

With an outlay of Rs 1.97 lakh crore, of which Rs 9,700 crore was disbursed by March 2024, the PLI scheme has already attracted significant investments, generating substantial job opportunities and fostering economic growth.