New Delhi: The Indian government has disbursed ₹1,596 crore under its Production-Linked Incentive (PLI) schemes for six sectors, including electronics and pharmaceuticals, during the first half of this fiscal year (April-September 2024). The PLI schemes, launched in 2021, cover 14 key sectors, including telecommunications, white goods, textiles, medical devices, automobiles, specialty steel, food products, solar modules, advanced batteries, drones, and pharma, with an overall budget of ₹1.97 lakh crore.

Of the total ₹1,596 crore disbursed, the largest share of ₹964 crore was allocated to large-scale electronics manufacturing, followed by ₹604 crore for pharmaceuticals. Smaller amounts were given to sectors like food products (₹11 crore), telecom (₹9 crore), bulk drugs (₹6 crore), and drones (₹2 crore).

As of 2023-24, the government has disbursed ₹9,721 crore in incentives under the PLI scheme. These initiatives are expected to have a positive impact on India’s MSME (Micro, Small, and Medium Enterprises) sector. Anchor units in each sector will require a network of new suppliers, which are largely expected to come from the MSME sector.

As of August 2024, the PLI schemes have led to investments totaling ₹1.46 lakh crore across 14 sectors, generating more than ₹12.50 lakh crore in incremental production and sales, creating over 9.5 lakh jobs, and facilitating exports exceeding ₹4 lakh crore. Over 760 applications have been approved under these schemes. Each department is responsible for the disbursement of funds for its respective sector.

The objective of the PLI schemes is to attract investment, encourage technological advancement, boost efficiency, and enable Indian manufacturers to be globally competitive.