The Production Linked Incentive (PLI) Scheme has revolutionized India’s manufacturing sector since its inception in 2020, driving output to Rs 10.90 lakh crore (approximately $130 billion) as of June 2024. This initiative has created over 8,50,000 jobs, both directly and indirectly, according to the Ministry of Commerce and Industry.
“The PLI scheme has fundamentally strengthened our manufacturing capabilities and generated significant employment opportunities,” the Ministry stated.
Attracting Investments
The Ministry emphasized that the PLI scheme has attracted investments totaling Rs 1.32 lakh crore (around $16 billion), underscoring its pivotal role in enhancing manufacturing across the nation.
Remarkable Growth in Exports and Employment
India’s merchandise exports have soared, surpassing $437 billion in the fiscal year 2023-24. The PLI schemes contributed an additional Rs 4 lakh crore to export revenues, while total employment in the manufacturing sector increased from 57 million in 2017-18 to 64.4 million in 2022-23.
“This surge highlights the transformative impact of the PLI initiative, which is not only boosting production but also creating valuable job opportunities,” the Ministry added.
Enhanced Ease of Doing Business
India’s commitment to improving the business environment is evident in its impressive rise in the World Bank’s Doing Business Report, moving from 142nd place in 2014 to 63rd in 2019.
Significant reforms have reduced over 42,000 regulatory compliances and decriminalized 3,700 provisions. The Jan Vishwas (Amendment of Provisions) Act, 2023, further supports this trend by decriminalizing 183 provisions across 42 Central Acts.
“These efforts have fostered a more conducive atmosphere for business growth and investment,” the Ministry noted.
Surge in Foreign Direct Investment
Since the launch of the ‘Make in India‘ initiative on September 25, 2014, the country has attracted a cumulative Foreign Direct Investment (FDI) inflow of $667.4 billion from 2014 to 2024, representing a remarkable 119% increase over the previous decade.
This investment spans 31 states and 57 sectors, driving growth across diverse industries. Notably, FDI equity inflows into the manufacturing sector reached $165.1 billion over the past decade, marking a 69% increase compared to the earlier period.
“The substantial rise in FDI underscores the initiative’s effectiveness in positioning India as a preferred global manufacturing destination,” the Ministry concluded.
