Production Linked Incentive (PLI) Scheme for Promotion of Domestic Manufacturing of Critical Key Starting Materials (KSMs)/ Drug Intermediates (DIs) and Active Pharmaceutical Ingredients (APIs) in India
By Ministry of Chemicals and Fertilizers
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Quick Answer
This PLI scheme offers financial incentives on incremental sales to manufacturers for boosting domestic production of critical Key Starting Materials (KSMs), Drug Intermediates (DIs), and Active Pharmaceutical Ingredients (APIs).
- Funding amount
- Varies
- Funding type
- Subsidy
- Application deadline
- Closed
- Location
- Open to startups registered in India
Results & next round
Applications for this round closed on 12 March 2026. The organiser has not published a selection list that we can verify yet.
Selections for this programme are announced by Ministry of Chemicals and Fertilizers. Official links are listed under Sources below.
We update this page when results are published, and when the next round opens.
About this subsidy
The "Production Linked Incentive (PLI) Scheme for Promotion of Domestic Manufacturing of Critical Key Starting Materials (KSMs)/ Drug Intermediates (DIs) and Active Pharmaceutical Ingredients (APIs) in India" is an initiative by the Department of Pharmaceuticals, Ministry Of Chemicals And Fertilizers, Government of India. It aims to significantly boost domestic manufacturing capabilities for identified Key Starting Materials (KSMs), Drug Intermediates (DIs), and Active Pharmaceutical Ingredients (APIs) by providing financial incentives on their incremental sales. The scheme is specifically designed to reduce India's import dependence for these 41 critical pharmaceutical products.
It is exclusively applicable to greenfield projects, thereby encouraging substantial new investments in the pharmaceutical manufacturing sector. With a total financial outlay of ₹6,940 crore, the scheme's tenure spans from FY 2020-21 to FY 2029-30, utilizing Financial Year 2019-20 as the base year for performance calculations. The Industrial Finance Corporation of India (IFCI) serves as the designated Project Management Agency (PMA), overseeing the implementation and assessment of the scheme.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
The Ministry of Chemicals and Fertilizers is a Union government ministry that oversees three departments: Chemicals and Petrochemicals, Fertilizers, and Pharmaceuticals. Its schemes cover production-linked incentives for manufacturers, market support for organic fertilisers, and…
Learn moreBenefits & Funding
What You Get
The scheme provides significant financial incentives on the incremental sales of 41 identified Key Starting Materials (KSMs), Drug Intermediates (DIs), and Active Pharmaceutical Ingredients (APIs) for a period of 6 years. For Fermentation-Based Products, incentives are 20% from FY 2023-24 to FY 2026-27, reducing to 15% in FY 2027-28, and 5% in FY 2028-29. For Chemical Synthesis-Based Products, a uniform 10% incentive is offered from FY 2022-23 to FY 2027-28. These incentives are applicable across a broad range of 41 products, covering 53 critical APIs, aimed at enhancing India's self-reliance in pharmaceutical manufacturing.
- Disbursement
- Milestone Based
- Duration
- 122 months
- Bootstrap friendly
- Yes
Timelines & Process
Selection Process
Applications will undergo a rigorous evaluation by the Project Management Agency (IFCI) based on the details furnished by the manufacturers. This assessment includes verifying the threshold investment committed to greenfield projects and evaluating projected incremental sales of the identified KSMs/DIs/APIs. Statutory Auditor certificates will be a critical part of the documentation reviewed to ensure compliance with scheme criteria and investment milestones before incentives are approved and disbursed.
Application Process
- 1
Apply Online
Submit your application through the official online portal.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
What is the primary objective of the PLI Scheme for Bulk Drugs?
The scheme aims to boost domestic manufacturing of critical Key Starting Materials (KSMs), Drug Intermediates (DIs), and Active Pharmaceutical Ingredients (APIs) in India, thereby reducing import dependence.
What kind of financial incentives are offered under this scheme?
Manufacturers receive financial incentives on incremental sales of 41 identified products for a period of 6 years. The incentive rates vary from 5% to 20% depending on the product segment (Fermentation-based or Chemical Synthesis-based) and the financial year.
Who is eligible to apply for this scheme?
The scheme is open to manufacturers of critical KSMs/DIs and APIs that are registered in India. Eligibility is specifically for greenfield projects and is subject to meeting certain threshold investment criteria, which vary by product segment.
What is the total financial outlay and tenure of the scheme?
The scheme has a total financial outlay of ₹6,940 crore and runs from FY 2020-21 to FY 2029-30, with FY 2019-20 serving as the base year for calculations.
How does one apply for the PLI Scheme for Bulk Drugs?
Eligible applicants must apply online through the official portal. An application fee of ₹1,00,000 for specific products or ₹50,000 for other eligible products is required and must be paid electronically via NEFT/RTGS to the designated IFCI bank account.
What is meant by a 'greenfield project' in the context of this scheme?
A greenfield project refers to a new manufacturing facility or unit built from scratch, rather than upgrading or expanding an existing plant. The scheme specifically supports these new investments in the pharmaceutical sector.
Sources
Data on this page is compiled from official program and provider references.
News
- PLI Schemes Strengthen India Pharma and Medical Device Sectorenglish.dainikjagranmpcg.com · last month
- Bulk drug PLI investment crosses ₹5,200 crore, beats government targetcnbctv18.com · last month
Source: Google News aggregated
