The Central Government is developing a dedicated production-linked incentive (PLI) scheme specifically for the garment industry, Textiles Minister Giriraj Singh announced during an interview on June 27.
The proposed garment-focused scheme will operate independently from the existing PLI scheme for textiles, which received government approval in 2021 with a budgetary allocation of Rs 10,683 crore over five years. The current textile PLI scheme has already approved 80 applicants and focuses on enhancing production of man-made fibre apparel and fabrics. Singh indicated that the government aims to disburse Rs 500 crore this year under the existing textile PLI scheme.
The Minister projected that the output-linked initiative will generate fresh investments exceeding Rs. 19,000 cr and creates more than 750,000 employment opportunities over the five-year implementation period. The government is currently engaged in discussions with international brands from Japan, Qatar, and other countries that have expressed interest in participating in the scheme.
Singh noted that export-promotion initiatives, including the Rebate of State and Central Taxes and Levies, are demonstrating positive outcomes. The government will evaluate the extension of these programs beyond their current March 2026 deadline in the coming months.
The textile ministry has set an ambitious target of positioning the textile sector as India’s primary employment generator, with plans to create 2.5 crore jobs by 2030. This initiative represents part of the government’s broader strategy to strengthen domestic manufacturing capabilities and boost export competitiveness in the textile industry.
