CITI welcomes approval of the Production Linked Incentive Scheme (PLIS) for MMF Fabrics, Garments and Technical Textiles
New Delhi, Wednesday, 8th September 2021: Chairman, CITI, Shri T Rajkumar welcomed the approval of the Production Linked Incentive Scheme (PLIS) for MMF Fabrics, Garments and Technical Textiles by the Hon’ble Prime Minister, Shri Narendra Modi Ji, Chairman of the Cabinet Committee of Economic Affairs (CCEA). Shri T. Rajkumar said, the Scheme with an outlay of Rs.10,683 crores will provide a major thrust to the MMF Fabrics, Garments and Technical Textiles which are being seen as the growth engine of the next decade and will help the Textiles and Clothing (T&C) industry to achieve its short-term as well as long-term goals set by the Government of India.
CITI Chairman, also thanked the Hon’ble Finance Minister, Smt. Nirmala Sitharaman Ji and Hon’ble Union Minister of Textiles, Commerce & Industry, Consumer Affairs & Food & Public Distribution, Shri Piyush Goyal Ji for making the Scheme a reality with a total outlay of INR 1.97 Lakh Crores for 13 key sectors, including Textile & Clothing Industry, to create global champions and generate additional employment opportunities for country’s youth especially for poor and illiterate women of the rural areas.
Shri T Rajkumar cited that world over MMF Sector and Technical Textiles are considered as the driving force for the growth of any country’s textile industry and the same has also been endorsed and recognised by our Government. Hence, Government has addressed many structural issues in the MMF Sector by removing anti-dumping duty on Purified Terephthalic Acid (PTA) and Viscose Staple Fibre (VSF) and rejected the proposed anti-dumping duties on PSF, MEG, etc. which has made the MMF fibre and yarn cheaply available to the domestic players at internationally competitive prices. The Government has also allocated Rs.1,480 crores under Technology Mission on Technical Textiles for encouraging R&D activities in the sector. He further pointed out that Technical Textiles has a major role to play in the overall development of several sectors of the economy, including infrastructure, water, health and hygiene, defence, security, automobiles, aviation, etc. Thus, the inclusion of both the sectors in PLIS underlines the importance of these segments for enhancing India’s trade share in the global textile trade.
CITI Chairman pointed out that through PLI Scheme, the Hon’ble Minister of Textiles wants to scale up the capacity of the T&C Industry by ten times. Considering the growing demand for textile products in the domestic sector as well as across the globe, the PLI Scheme is expected to attract a fresh investment of over Rs.19000 crores, additional production turnover of Rs.3 lakh crore in Five Years and will create additional employment for 7.5 lakh people and would significantly expand the size of the textile sector.
Shri T Rajkumar stated that there are two types of investment possible with different sets of incentive structures, first, where a company willing to invest Rs.300 crores in Plant, Machinery, Equipment and Civil Works (excluding land and administrative building cost) to produce products of Notified lines (MMF Fabrics, Garment) and products of Technical Textiles, shall be eligible to apply for participation in the first part of the scheme. Similarly, in the second part, a company willing to invest Rs.100 crores shall be eligible to apply for participation in this part of the scheme. In addition, priority will be given for investment in Aspirational Districts, Tier 3, Tier 4 towns, and rural areas and due to this priority Industry will be incentivized to move to the backward areas. He further stated that this scheme will positively impact especially States like Gujarat, UP, Maharashtra, Tamilnadu, Punjab, AP, Telangana, Odisha, etc.
CITI Chairman stated that the PLI Scheme and other policy decisions made by the Government of India will not only improve the competitiveness of the Indian textile sector but go a long way in fulfilling the dreams of the Hon’ble Prime Minister of making our T&C Industry AatmaNirbhar in real sense and India a global manufacturing hub for the textile sector. With this, India hopes to regain its dominance in the Global Textiles Trade.
Recent Posts
- CITI’s Weekly Newsletter 11th -17th March 2024 – reg. March 18, 2024
- Cir(017)/2023-March 18, 2024 March 18, 2024
- ESG Webinar-Thursday-04 May 2023 March 16, 2024
- CITI welcomes the provisions for exempting inputs imported under AA, EOU & SEZ from mandatory QCOs March 13, 2024
- Cir(016)/2024-March 12, 2024 March 12, 2024
Archives
- March 2024 (9)
- February 2024 (13)
- January 2024 (15)
- December 2023 (7)
- November 2023 (10)
- October 2023 (3)
- September 2023 (8)
- August 2023 (5)
- July 2023 (10)
- June 2023 (11)
- May 2023 (19)
- April 2023 (16)
- March 2023 (17)
- February 2023 (16)
- January 2023 (14)
- December 2022 (11)
- November 2022 (9)
- October 2022 (11)
- September 2022 (13)
- August 2022 (13)
- July 2022 (15)
- June 2022 (13)
- May 2022 (6)
- April 2022 (3)
- March 2022 (1)
- February 2022 (1)
- January 2022 (1)
- December 2021 (1)
- November 2021 (1)
- October 2021 (2)
- August 2021 (4)
- July 2021 (1)
- March 2021 (1)
- February 2021 (2)
- January 2021 (2)
- November 2020 (2)
- October 2020 (1)
- September 2020 (2)
- August 2020 (1)
- June 2020 (1)
- May 2020 (2)
- March 2020 (3)
- February 2020 (3)
- September 2019 (2)
- August 2019 (1)
- July 2019 (1)
- May 2019 (3)
- April 2019 (1)
- March 2019 (3)
- February 2019 (3)
- January 2019 (4)
- December 2018 (1)
- November 2018 (2)
- October 2018 (1)
- September 2018 (3)
- August 2018 (3)
- July 2018 (7)
- March 2018 (1)
- January 2018 (13)
- November 2017 (3)