PLI payout for FY24 may lag behind govt's estimate of over Rs 11,000 crore

Ministries asked to ensure scheme is 'aggressively' monitored

The incentive outgo for the ambitious production-linked incentive (PLI) scheme during 2023-24 (FY24) is likely to fall behind the government’s estimate of over Rs 11,000 crore, according to people aware of the matter.

This is because companies are not able to claim incentives due to obligations set by the government being unfulfilled, insufficient applications, and slower than expected progress in some of the 14 schemes.

While the PLI scheme for textiles and steel has not shown much progress, incentives in some cases can be claimed starting FY25, after the gestation period ends this financial year. There have also been cases