Thursday, Nov 12, 2026
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India Achieves 64% PLI Production Target Using Just 18% of Allocated Incentives

PLI schemes in India are yielding positive results across several industries and investments and production are ahead of expectations, said a senior official from NITI Aayog while releasing the Impact Assessment of PLI Schemes report in New Delhi.

NITI Aayog official discusses PLI scheme performance
NITI Aayog official discusses PLI scheme performance | Photo Credit: https://x.com/ANI

Speaking at the release of the report, Ishtiyaque Ahmed, Programme Director (Industry & Foreign Investment), NITI Aayog said overall performance of PLI schemes across sectors has been positive.

“The programme has produced significant results in production despite using only a small part of incentives provided by government,” he added.

Ahmed says that so far 76 per cent of the targeted investment has been made. Production has reached about 64 per cent of target although only 58 per cent of total programme period has passed so far. He said this was an encouraging sign of implementation and performance of the scheme.

One of the major findings the official drew was about utilisation of government incentives. Ahmed said only 18 per cent of incentives under programme were utilised while scheme had already delivered about 64 per cent of target production.

He said this was good use of public money because a lot of production progress had been made with only part of the financial incentives available.

Ahmed also said that around 70 per cent of parameters assessed under the programme were on track. This means most of the performance indicators are moving according to their timelines but different sectors might have different levels of achievement.

The Production Linked Incentive scheme is an important government initiative to build domestic manufacturing, attract fresh investments and improve India’s place in global manufacturing supply chains. Companies eligible for the programme are incentivised based on incremental production and sales.

The initiative covers 14 strategic sectors: electronics, pharmaceuticals, automobiles and auto components, telecommunications, textiles, food processing, specialty steel, solar photovoltaic modules and advanced battery manufacturing.

The PLI framework was introduced by the government to encourage companies to expand manufacturing in India, increase domestic production capacity, attract investment and reduce dependence on imported products.

The programme has also generated employment and export growth. As of December 31, 2025 PLI schemes had attracted investments worth over ₹2.16 lakh crore; production and sales worth more than ₹20.41 lakh crore; as well as supported the creation of over 14.39 lakh direct and indirect jobs (government figures).

The findings presented by NITI Aayog show how well the incentive-based manufacturing programme is progressing in different industries.

This time round the focus is on investment achievement, production performance and incentive utilisation. The figures Ahmed has provided show that the programme has already made a lot of progress within the timeframe available to it.

The report should be useful in understanding whether the PLI framework is working and how it’s performing across sectors. It could also inform discussions on improving implementation and strengthening India’s manufacturing ecosystem.

Most of the parameters assessed were said to be on track but the performance review shows how PLI schemes support India’s manufacturing ambitions.

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