Commerce ministry asks departments to consult with PLI scheme beneficiaries

The commerce and industry ministry has suggested departments, which are implementing their sector-specific production-linked incentive schemes, hold consultations with PLI beneficiary companies to understand their issues, government officials said.

The suggestion was made in a workshop on the production-linked incentive (PLI) scheme called by the ministry on June 27.

The meeting assumed significance as the government disbursed only Rs 2,900 crore till March 2023 out of Rs 3,400 crore claims received under the scheme. The scheme was announced in 2021 for 14 sectors, such as telecommunication, white goods, textiles and pharma with an outlay of Rs 1.97 lakh crore.

The departments were also asked to ensure that PLI beneficiaries complete their investments and meet production targets.

"It was suggested to the line ministries now to call the PLI beneficiary companies for consultations with them only and if they flag any issue, it could be conveyed to the commerce and industry ministry so that those issues can be taken up with the highest authorities," one of the officials said.

The ministry, which coordinates the scheme, also urged PLI beneficiaries to take up any procedural challenges/ issues with the respective implementing ministry or department so that positive reforms can be brought about and the scheme can be made more efficient and effective.

During the workshop, Commerce and Industry Minister Piyush Goyal encouraged industry's feedback and collaborative engagement to shape the policies, procedures and effectiveness of the scheme.

The workshop witnessed participation from 10 implementing central departments, companies/ PLI beneficiaries under 14 key sectors, various Project Management Agencies (PMAs) like IFCI (Industrial Finance Corporation of India), Small Industries Development Bank of India (Sidbi), Metallurgical and Engineering Consultants (MECON), Indian Renewable Energy Development Agency (IREDA), and Solar Energy Corporation of India (SECI), select industry associations and relevant export promotion councils.

Representatives were also there from Wistron, Foxconn, Samsung, Dell, Wipro GE, Dr. Reddy's, Tata Motors, Mahindra & Mahindra, Nokia Solutions, ITC, Dabur, JSW, and Reliance among others.