With over Rs 1.76 lakh crore in investments and significant increases in output, exports, and job creation, the Center’s Production Linked Incentive (PLI) Scheme has been instrumental in turning India from a highly dependent nation on imports into a major player in the world’s manufacturing.

The PLI initiatives are deliberately bolstering India’s manufacturing base by supporting emerging sectors, fostering innovation, and bringing global supply chains closer to home.

According to an official statement released on Sunday, the production impact has been outstanding, with total sales by PLI participants surpassing Rs 16.5 lakh crore, demonstrating extraordinary growth in important industries like electronics, pharmaceuticals, automobiles, and textiles.

With more than 12 lakh direct and indirect work possibilities created, the PLI program has become a significant job creator. At the same time, it is encouraging further ecosystem development in Tier-2 and Tier-3 cities. Significantly, the program has sparked a new wave of foreign direct investment into the nation, promoting India as a top location for high-value manufacturing in a changing global environment, the statement said.

The initiative is more than simply a financial package, with an incentive outlay of Rs 1.97 lakh crore. As of right now, 806 applications have been accepted in 14 key sectors, demonstrating the scheme’s high industry confidence and widespread implementation.

A key component of India’s goal to become one of the world’s top industrial economies and increase manufacturing’s share of GDP to 25% is the PLI Scheme.

Over time, the program garnered significant attention from both domestic and international stakeholders, resulting in the approval of numerous projects in industries like textiles, medical devices, electronics, and bulk medicines. For instance, the PLI initiative for the pharmaceutical industry, which involved an expenditure of Rs 15,000 crore, was authorized by the Union Cabinet in February 2021. In a similar vein, a PLI plan for the automobile and auto component industries worth Rs 25,938 crore and one for drones and drone components for Rs 120 crore over three years were approved in September 2021.

With production rising by 146%, from Rs 2.13 lakh crore in FY 2020–21 to Rs 5.25 lakh crore in FY 2024–25, the electronics sector has become a hallmark success story under the PLI strategy. Major smartphone manufacturers have been encouraged to move their manufacturing to India by the PLI Scheme. India is become a major producer of mobile phones as a result.

With an investment of Rs 6,238 crore, the PLI project for white products was introduced in April 2021 with the goal of converting India from a hub for assembly to a foundation for high-value manufacturing. According to the statement, it aims to increase domestic value addition from only 20–25% to 75%–80% by 2028–2029.