Dear Sirs/Madam,
This has reference to the Production Linked Incentive (PLI) scheme for Textiles & Apparel Industry which has been notified in 2021. The scheme has undergone amendments periodically to address industry requirements. Recently, the Ministry of Textiles, through Amendment to Notification No. 12015/03/2020-IT dated 24.09.2021, revised the scheme guidelines and addressed various issues highlighted by the industry.
The key highlights of the amended scheme are as follows:
- Addition of HSN codes: 7 new HSN codes for MMF apparel and 9 new HSN codes for MMF fabrics at HS 6 level.
- Revised investment criteria: The minimum investment criteria has been revised to Rs 150 cr. and Rs 50 cr. under the scheme part 1 and part 2 respectively. Moreover, the earlier requirement for forming the new company to avail the benefits has been removed.
- Reduction in turnover requirement: With effect from FY 2025-26 the minimum additional turn over requirement shall be reduced from 25% to 10% starting from 2nd performance year.
Members may note that the entry of new applicants under the amended scheme shall be permitted until FY 2025-2026.
The detailed notification containing the list of new HSN codes and other details of the amendments is attached for your kind perusal. Ministry will issue the detailed operational guidelines in due course.
Members may take note of the above and take maximum benefits of the scheme.
Placed for your information.
Thanking you,
Yours faithfully,
Chandrima Chatterjee
(Secretary General)