Production Linked Incentive (PLI) Scheme for Textiles Part-1

The Ministry of Textiles, Government of India, administers the Production Linked Incentive (PLI) Scheme for Textiles Part-1. This initiative targets the domestic manufacturing of Man-Made Fibre (MMF) Apparel, MMF Fabrics, and Technical Textiles. The textile sector is a major contributor to India's industrial output, exports, and employment base.

The scheme's objective is to assist Indian textile manufacturers in expanding their scale of operations and improving their international competitiveness. Financial incentives are provided to encourage investment in advanced technology and production methods, with the aim of raising output, improving product quality, and strengthening the country's export position. This is expected to create significant employment, particularly in textile manufacturing clusters.

Incentives under the scheme are linked to the incremental turnover achieved by participating companies in the specified product categories. The Ministry of Textiles manages implementation, with a Project Management Agency (PMA) supporting execution and monitoring by the Empowered Group of Secretaries (EGoS). The scheme is divided into Part-1 and Part-2; this offering covers Part-1. The broader goal is to build a resilient and competitive textile industry that serves both domestic requirements and export markets.

1. Access the Portal: Begin by visiting the official website at https://pli.texmin.gov.in/.
2. Complete the Application Form: Fill out the online application with accurate information regarding the company, proposed investment, and production capacity.
3. Attach Documents and Undertaking: Include all required supporting materials, such as incorporation certificates, financial records, a detailed project report, and investment evidence, along with any specified declarations.
4. Pay the Fee: A non-refundable application fee of ₹50,000/- is payable online to finalise the submission.
5. Obtain Acknowledgement: After successful submission and payment, an acknowledgement with a unique Application ID will be issued.
6. Address Queries: The Ministry or Project Management Agency (PMA) may seek clarifications; responses must be provided within the given deadline.
7. Evaluation and Shortlisting: A Selection Committee will review applications based on eligibility, investment plans, and expected turnover.
8. Receive Approval Letter: Successful applicants will get a formal Letter of Approval confirming their enrolment in the scheme.
9. Start Production and Meet Targets: Approved entities must begin manufacturing the notified products and work towards fulfilling the agreed investment and turnover goals.
10. File Annual Claims: Each year, participants must submit incentive claims online, with evidence of incremental turnover and compliance with scheme terms.
11. Verification and Sanction: The authorities will check and approve the submitted claims.
12. Disbursal of Incentive: Upon approval, the incentive amount is transferred directly to the participant's registered bank account.

Applications under the PLI Scheme for Textiles Part-1 are assessed through a staged review. The Project Management Agency (PMA) first checks each submission for completeness and compliance with the basic eligibility conditions. Following this, a Selection Committee—made up of experts and government officials—evaluates the proposals on parameters such as planned investment, job creation potential, technical capability, and location, with preference for aspirational districts and Category C cities.

Candidates who make the shortlist may be called for presentations or discussions to clarify their proposals. A final decision is then taken, and a Letter of Approval is issued to the successful applicants.