India’s Ministry of Textiles has announced major amendments to the Production Linked Incentive (PLI) Scheme for Textiles, aimed at revitalising the country’s man-made fibre (MMF) and technical textiles sectors.
The revised provisions seek to lower entry barriers, simplify compliance, and boost investment, aligning with the government’s vision to position India as a global textile manufacturing hub. The ministry has notified key revisions to the PLI Scheme for MMF apparel, MMF fabrics, and technical textile products. These significant amendments are designed to address industry challenges, enhance ease of doing business, encourage fresh investments in the sector, and accelerate growth—underscoring the government’s focus on fostering employment and driving India’s leadership in the global textile market.
The amended guidelines of the Scheme are also being issued. The government has included eight new HSN codes for MMF apparel and nine new HSN codes for MMF fabrics. Applicants can now establish project units within existing companies.
With effect from August 01, 2025, for all new applicants, the minimum investment has been reduced from ₹300 crore to ₹150 crore under the Part-1 category and from ₹100 crore to ₹50 crore under the Part-2 category of the Scheme.
Starting from the fiscal 2025–26, applicants must demonstrate a minimum of 10 per cent incremental turnover over the previous year to qualify for incentives (from year 2 onwards). These revisions will significantly reduce entry barriers and financial thresholds, enabling faster project execution.
To encourage wider industry participation, the ministry has reopened the PLI Scheme application portal until December 31, 2025. Interested companies are urged to take advantage of the revised framework and extended timeline to apply and contribute to India’s vision of becoming a global textile manufacturing hub.
News Courtesy: Fibre2Fashion