Production Linked Incentive (PLI) Scheme for Textiles Part-1
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Quick Answer
A Production Linked Incentive scheme by the Ministry of Textiles offering financial incentives based on incremental turnover to companies investing in MMF Apparel, MMF Fabrics, and Technical Textiles.
- Funding amount
- Varies
- Funding type
- Subsidy
- Provider
- Ministry of Textiles
- Application deadline
- Closed
- Eligible stage
- Revenue
- Location
- Open to startups registered in India
Results & next round
Applications for this round closed on 31 March 2026. The organiser has not published a selection list that we can verify yet.
Selections for this programme are announced by Ministry of Textiles. 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 Textiles Part-1, launched by the Ministry of Textiles, Government of India, is a landmark initiative designed to significantly boost the domestic manufacturing capabilities in the textile sector. India's textile industry is a cornerstone of its economy, providing massive employment and contributing substantially to industrial output and exports. This scheme specifically targets the production of Man-Made Fibre (MMF) Apparel, MMF Fabrics, and Technical Textiles.
The core objective of the PLI scheme is to help Indian textile manufacturers achieve greater scale and enhance their global competitiveness. By offering financial incentives, the government aims to encourage significant investments in cutting-edge technology and manufacturing processes, leading to increased production, higher quality products, and a stronger position in the international market. This, in turn, is expected to generate substantial employment opportunities across the country, particularly benefiting regions with textile manufacturing clusters.
The scheme operates on a performance-linked model, where financial incentives are directly tied to the incremental turnover achieved by participating companies in the manufacturing of specified textile products. It is structured into two components, Part-1 and Part-2, with this specific offering detailing Part-1. The Ministry of Textiles oversees its implementation, supported by a dedicated Project Management Agency (PMA), ensuring efficient execution and monitoring by the Empowered Group of Secretaries (EGoS). The overall goal is to foster a robust, viable, and competitive textile industry that can meet both domestic demand and export targets.
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 Textiles is the central government ministry responsible for policy formulation and promotion of the textiles and apparel sector in India. Through the National Technical Textiles Mission (NTTM), launched in 2020, the ministry aims to position India as a global…
Learn moreBenefits & Funding
What You Get
The PLI Scheme for Textiles Part-1 offers significant financial incentives to eligible participants. These incentives are provided based on the incremental turnover of notified textile products manufactured in India, directly rewarding growth and investment. For Part-1, the incentive structure is tiered: 15% on achieving ₹600 crore turnover in Year 1, decreasing to 11% on ₹1464.84 crore in Year 5. Participants can avail these incentives for a maximum of 5 consecutive performance years.
To qualify for these benefits, companies must meet specified minimum threshold investments and prescribed turnover targets, along with achieving at least 25% incremental turnover over the previous year from Year 2 onwards. The incentive is capped at 35% growth for incremental turnover. Disbursement is made annually directly to the participant's bank account via the Public Financial Management System (PFMS), with claims processed within 45 days by the Project Management Agency (PMA) and funds disbursed within 15 days of approval. This robust support mechanism ensures that qualifying companies receive consistent financial backing for their expansion and technological upgrades.
- Disbursement
- Reimbursement
- Duration
- 61 months
- Bootstrap friendly
- Yes
Timelines & Process
Selection Process
Applications for the PLI Scheme for Textiles Part-1 undergo a multi-stage evaluation process to ensure only eligible and impactful projects are selected. Once an application is submitted, it is initially screened by the Project Management Agency (PMA) for completeness and adherence to basic eligibility criteria. Subsequently, these applications are rigorously evaluated by a dedicated Selection Committee. This committee, comprising experts and government representatives, assesses various parameters including the proposed investment, employment generation potential, technical capacity, and strategic location (with preference given to aspirational districts and Category C cities). Shortlisted applicants may be invited for further presentations or discussions to clarify their proposals before a final decision is made and a Letter of Approval is issued.
Application Process
- 1
Visit Portal
Applicant visits the official PLI Textiles portal.
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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 Textiles Part-1?
The primary objective is to promote the production of MMF Apparel, MMF Fabrics, and Technical Textiles in India, enabling the textile industry to achieve scale, enhance global competitiveness, and generate employment opportunities.
What kind of financial incentive does the scheme provide?
The scheme provides financial incentives to selected participants based on the incremental turnover of notified products manufactured in India. The incentive rates vary from 15% in Year 1 to 11% in Year 5, tied to specific turnover milestones.
What is the minimum investment required to be eligible?
Applicants must invest a minimum of ₹300 crore (excluding land and administrative building) to qualify for the scheme.
Which types of entities are eligible to apply?
The scheme is open to companies, firms, LLPs, and trusts incorporated in India that are establishing a new entity or undertaking significant expansion for the manufacturing of notified textile products.
How long are the incentives available?
Incentives are available for a maximum period of 5 consecutive performance years from the first performance year, provided the participant continues to meet all eligibility and performance conditions.
What is the application process?
The application process is entirely online. Applicants must visit the official portal, fill out the application form, upload required documents and undertakings, and pay a ₹50,000 application fee. After submission, applications are evaluated by a Selection Committee.
News
- Why PLI 1.0 Has Paid Out Less Than A Fifth Of The Promised Rs 1.97 Lakh Crorethecore.in · last month
- PLI schemes: Govt disburses ₹36,754 crore since 2020; ₹1,400 crore in Q1tradingview.com · last month
Source: Google News aggregated








