India Approves 806 Applications Under PLI Schemes: India’s Production Linked Incentive (PLI) schemes, launched in 2021, have marked a significant milestone with the approval of 806 applications across 14 key sectors, driving the nation’s vision of becoming a global manufacturing hub. Announced with an outlay of ₹1.97 lakh crore, these schemes aim to enhance India’s manufacturing capabilities, boost exports, and create millions of jobs. As of July 2025, the initiative has catalyzed ₹1.76 lakh crore in investments, resulting in incremental production and sales exceeding ₹16.5 lakh crore, alongside generating over 12 lakh direct and indirect jobs, according to Minister of State for Commerce and Industry Jitin Prasada.
The PLI schemes cover diverse sectors, including telecom, electronics, pharmaceuticals, textiles, automobiles, and advanced chemistry cell (ACC) batteries. By offering financial incentives based on incremental sales and local value addition, the initiative encourages both domestic and foreign companies to manufacture in India. The electronics sector, particularly mobile manufacturing, has seen remarkable growth, with production value surging by 146% from ₹2,13,773 crore in 2020-21 to ₹5,25,000 crore in 2024-25. Mobile phone exports have skyrocketed by 775%, rising from ₹22,870 crore to ₹2,00,000 crore in the same period, showcasing India’s growing prowess in global markets.
The pharmaceutical sector has also thrived, with cumulative sales of ₹2.66 lakh crore, including ₹1.70 lakh crore in exports over the first three years of the scheme. India has emerged as a net exporter of bulk drugs, reducing dependency on imports and strengthening its position in the global pharma supply chain. Other sectors, such as medical devices, IT hardware, and specialty steel, have also benefited significantly, with a cumulative incentive disbursement of ₹21,534 crore as of June 2024 across 12 sectors.
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The PLI schemes align with India’s ‘Atmanirbhar Bharat’ (Self-Reliant India) initiative, fostering innovation and competitiveness. For instance, the telecom sector has seen advancements in networking products, while the textile industry is gaining traction in global markets. The schemes also support emerging industries like drones and solar PV modules, positioning India as a leader in next-generation technologies. However, challenges remain, including the need for clearer criteria for incentive allocation and a centralized database to enhance transparency and track metrics like job creation and export growth.
The economic impact of the PLI schemes is profound. The 12 lakh jobs created span various skill levels, empowering youth and boosting rural economies through MSMEs. Investments in advanced manufacturing are also fostering technology transfer and skill development, critical for long-term growth. The automobile sector, for example, is leveraging the schemes to enhance local production of electric vehicles and components, aligning with India’s sustainability goals.
Despite its success, the PLI framework faces scrutiny over administrative complexities and the need for standardized evaluation processes. Addressing these concerns could further enhance the schemes’ effectiveness, ensuring equitable distribution of incentives and maximizing economic benefits. The government is urged to assess the cost-per-job ratio and expand the schemes to new sectors strategically, learning from current limitations.
As India continues to strengthen its manufacturing ecosystem, the PLI schemes are proving to be a cornerstone of economic transformation. With 806 approved applications driving unprecedented growth, the initiative is not only reshaping India’s industrial landscape but also positioning it as a competitive player on the global stage, fostering sustainable development and self-reliance.
