InvestIndia - PLI Textiles - VF

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PRODUCTION LINKED INCENTIVE SCHEMES

Introduction
India, the world’s largest democracy as well as one of its biggest economies, has been
on an upward growth trajectory over the recent decades. Our consistent growth rates
have also been among the highest in the world and have attracted some of the most
prominent foreign companies and investors. Growing economic clout has contributed
to a widespread global consensus about a larger role and place for India, both in
economic and geopolitical terms. While India’s service industry has time and again
demonstrated its strength and innovation, the nation’s domestic manufacturing has
been somewhat unable to keep pace.

The rapidly changing dynamics of the 21st century global economy have impacted
several countries including India, due to which, there have been increasing calls for India
to strengthen its domestic manufacturing capacities if it were to acquire a significant
place in the global value chains. To this end, the government of India has been
proactively implementing policies to promote domestic industries, the most concrete
instance of which took the form of the “AatmaNirbhar Bharat Abhiyan” (Self-Reliant
India), launched by Prime Minister Narendra Modi a few months ago. This one-of-its-
kind campaign envisions stronger domestic industrial capacity for India while also
positioning it as a major manufacturing and export hub at the world stage.

Since its launch last year, the “AatmaNirbhar Bharat” scheme has witnessed significant
government push towards enhancing domestic industries through a slew of measures
like incentives, subsidies and funding support. Among the most significant of these
measures was the recent approval by the country’s Cabinet headed by Prime Minister
Modi to extend the Production Linked Incentive (PLI) scheme to 10 crucial sectors of
the economy.

The scheme, centered on incremental outputs, aims to strengthen manufacturing and


export capacities of domestic firms and industries so as to put them at the heart of
global supply chains. The main objectives of extending the PLI across different sectors
are to develop the core competencies of Indian industries, encourage innovative
technologies, create economies of scale through efficient processes and boost their
global presence through exports. As envisioned by our Prime Minister, an efficient,
dynamic and resilient domestic manufacturing ecosystem is of utmost importance for
India to emerge as a global manufacturing hub. By detailing the PLI scheme for the
white goods sector, this paper aims to provide a comprehensive picture of what the
scheme entails for every specific sub-sector in terms of implementation, funding and
benefits.

A recent tweet put out by our Prime Minister sums up the PLI story rather well:

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PRODUCTION LINKED INCENTIVE SCHEMES

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PRODUCTION LINKED INCENTIVE SCHEMES

Production Linked Incentive (PLI) Scheme

The Production Linked Incentive (PLI) scheme contains all the ingredients required to
increase investments, employment generation, domestic value addition, capacity
building and innovation to make India ‘Aatmanirbhar’ or self-reliant.

Benefits of Production Linked Incentive (PLI) scheme

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PRODUCTION LINKED INCENTIVE SCHEMES

Large-Scale Electronics Manufacturing: A


PLI Success Story
A significant increase in global demand for consumer electronics has given India an
opportunity to attract foreign investments as well as encourage domestic
manufacturers to focus on manufacturing consumer electronics in India under the
flagship ‘Make in India’ initiative of the government.

Under the National Policy on Electronics 2019, which was introduced to position India
as a global hub for electronics system design and manufacturing, the Ministry of
Electronics and Information Technology (MeitY) introduced a Production Linked
Incentive Scheme for large-scale Electronics Manufacturing with effect from April 1,
2020. PLI scheme extends an incentive of 4 per cent to 6 per cent on incremental sales
(over base year) of goods under target segments that are manufactured in India to
eligible companies, for a period of five years subsequent to the base year (FY2019-20).
The scheme was open for filing applications till 31.07.2020. Over the next five years,
the approved companies under the PLI scheme are expected to lead to total production
of more than INR 10,50,000 crore (USD 140.6 Bn). Out of the total production in the next
five years, around 60 per cent will be contributed by exports of the order of INR 6,50,000
crore (USD 87 Bn).

While the PLI schemes have been recently launched by the government in several
crucial sectors of the economy, it is important to note the impact they are creating on
the ground. The most shining example of the PLI scheme’s success in transforming the
domestic manufacturing landscape of a specific sector can be seen in the large-scale
electronics manufacturing domain, where, within some months of the scheme’s launch,
there has been a significant rise in investments leading to higher job creation in the
sector.

The success of the PLI in large-scale manufacturing sets the perfect precedent for the
textiles industry to witness similar growth and leverage the impetus provided by the
PLI scheme and expand its domestic manufacturing capacities.

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PRODUCTION LINKED INCENTIVE SCHEMES

Sectoral Boost Provided By Government


of India
Below is the list of ten sectors chosen for PLI schemes in India, from which, the textiles
sector is the focus area of this paper.

1. Advance Chemistry Cell (ACC) Battery


2. Electronic/Technology Products
3. Automobiles & Auto Components
4. Pharmaceuticals drugs
5. Telecom & Networking Products
6. Textile Products: MMF segment and technical textiles
7. Food Products
8. High Efficiency Solar PV Modules
9. White Goods (Air Conditioners and LED Lights)
10. Specialty Steel

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PRODUCTION LINKED INCENTIVE SCHEMES

Textile Products: Man-Made Fibres, Man-Made Apparel


and Technical Textiles

1. BRIEF OF THE SECTOR

Domestic Textile and Apparel market including export is around USD 140 billion in 2018-
19. With growth in disposable income and domestic consumption including exports of
textile and apparel is likely to increase at 12% CAGR to reach USD 280 billion by 2025.

The Indian textile industry is one of the largest in the world and has a share of ~5 per
cent of global exports in textiles and apparel. As India continues to be a world leader in
the production of natural fibres, it is steadily gaining ground in the Man-Made Fibres
(MMF), Man-Made Apparels and technical textiles segment. Technical textiles are
textiles materials and products manufactured primarily for technical performance and
functional properties rather than aesthetic characteristics.

On the basis of application, Technical Textiles products are divided into 12 broad
categories.

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PRODUCTION LINKED INCENTIVE SCHEMES

India shares nearly 6% of world market size of USD 250 Bn registering an annual
average growth of 12%, as compared to 4% world average growth.

India also produces almost all the types of synthetic fibres, be it polyester, viscose,
nylon or acrylic. However, penetration level of technical textiles is low in India at 5-10%,
against 30-70% in advanced countries1. Similarly, India's share in top 40 global MMF
lines is only 0.78 per cent. Further, share in export of 40 HS codes of MMF apparel is
only 6.8 per cent of total apparel export from India.

Minimal share of India in exports of components within technical textiles which


are a part of the PLI scheme; significant opportunity to meet the global demand.2

1
https://pib.gov.in/PressReleasePage.aspx?PRID=1677979#:~:text=India%20shares%20nearly%206%
25%20of,%2D70%25%20in%20advanced%20countries.
2
Source: UN Comtrade

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PRODUCTION LINKED INCENTIVE SCHEMES

2. MARKET OPPORTUNITY

Technical Textiles

● The Indian technical textiles market was estimated at USD 20 Bn in 2019-20 and
grew at a CAGR of 12% since 2013-14. However, due to COVID-19, the market is
expected to fall 25% in 2020-21 to reach USD 15 Bn3

● One of the fastest growing segments of Indian economy, projected to reach


market size of USD 42 Bn by 2023-24

● India has 4-5% share in the global technical textiles market size across 12
segments of technical textiles4

● In the domestic market, technical textiles constitute 12-15% of total textile value
chain and contributes to about 0.7% to India's GDP4

● Exports of technical textiles in 2019-20 stood at USD ~2.4 Bn growing at a CAGR


of 12% since 2015-163

Domestic Market Size of Technical Textiles in India (USD Bn)

3
Wazir Advisors Annual Report 2021
4
https://niti.gov.in/technical-textiles-sun-rising-sector-indian-textile-industry

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PRODUCTION LINKED INCENTIVE SCHEMES

Technical Textile Exports and Imports (USD Bn)

Man-Made Fibres

● India is 2nd largest producer of both polyester and viscose globally

● Production of man-made staple fibre (MMSF) in India has grown from 1,347 Mn
Kg in 2015-16 to 1,765 Mn Kg at a CAGR of 7%5

● India’s Polyester staple fibre exports have grown at a CAGR of 10% since 2015-16

● Major export markets for man-made filament fibres: USA, Belgium, Nepal,
Bangladesh and Indonesia

● Imports of man-made staple fibre (MMSF) has grown at a CAGR of 9% from USD
351 Mn in 2015-16 to USD 491 Mn in 2019-20

● Within the imported knitted fabrics, the major fabric types include 100% Polyester,
Polyester-Spandex, Nylon and Nylon-Spandex based fabrics primarily used in
sportswear & fashion wear.

● India's major markets for man-made fabric: UAE, Bangladesh, Pakistan,


Afghanistan and Sri Lanka

5
Ministry of Textiles and Wazir analysis

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PRODUCTION LINKED INCENTIVE SCHEMES

FIBRE PRODUCTION EXPORTS IMPORTS


(2019-20) (2019-20) (2019-20)

MMSF 1,765 Mn Kg USD 503 Mn USD 491 Mn

Viscose Staple 578 148 112


Fibre

Polyester Staple 1,085 289 134


Fibre

Acrylic Staple Fibre 98 50 100

Other MMSF 4 16 145

• MMF will contribute about 84% of total fibre mill consumption between 2015-
2030 (source: PCI Wood Mackenzie).

• International Cotton Advisory Committee (ICAC) estimate about 80% of fibre


consumption will be contributed by non-cotton segment by 2025.

3. GROWTH DRIVERS

● Increasing Per Capita Income of Consumer: Promising economic growth indicates


corresponding trends for income growth. Holistic development encourages
higher discretionary spending and technology development.

● Growth of end-user industries: Industries such as automotive, health care,


infrastructure, and oil and petroleum consume a variety of technical textile
products. Increasing level of investments, rising consumption and growing
exports in these industry sectors translate into further increase in the
consumption of technical textiles.

● Increasing adaptability level/acceptance of products: Growth in awareness and


income would mostly benefit the technical textile industry, as consumers would
willingly spend on products such as wipes, diapers, sanitary napkins, disposable

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PRODUCTION LINKED INCENTIVE SCHEMES

sheets and pads.

● Changing consumer trends including increasing emphasis on fitness and hygiene


in the wake of covid-19.

● Rising brand consciousness

● Fast changing fashion trends

● Extensive usage of technical textiles in various flagship missions, programmes of


the country including Jal Jivan Mission; Swachch Bharat Mission; Ayushman
Bharat

● Increasing use of technical textiles in agriculture, aquaculture, dairy, poultry, etc.


with an aim to bring an overall improvement in cost economy, water and soil
conservation, better agricultural productivity and higher income to farmers per
acre of land holding

● Major push to usage of geo-textiles in highways, railways and ports resulting in


robust infrastructure, reduced maintenance cost and higher life cycle of the
infrastructure assets.

4. KEY TRENDS

● Boom in medical textiles during the pandemic

● Increasing demand for home textiles and made-ups textile

● Push towards e-commerce

● Increasing foreign investments

● Increasing manufacturing capacity

● Creation of National Infrastructure pipeline propelling upward demand of


geotextiles

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PRODUCTION LINKED INCENTIVE SCHEMES

5. READY CLUSTERS AVAILABLE FOR ANY PLAYERS LOOKING TO


COME TO INDIA

KEY TEXTILE AND APPAREL CLUSTERS


Spinning Clusters: Ludhiana, Baddi, Coimbatore, Erode, Guntur
Weaving Clusters: Surat, Tarapur, Mumbai, Amravati, Ahmedabad
Knitting Clusters: Delhi, Ludhiana, Tiruppur
Apparel Manufacturing Clusters: Delhi, Bangalore, Mumbai, Kolkata, Vapi,
Vishakhapatnam

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PRODUCTION LINKED INCENTIVE SCHEMES

6. TECHNICAL TEXTILE ECOSYSTEM IN INDIA

7. POLICIES AND GOVERNMENT INITIATIVES


● 100 per cent FDI through automatic route in the Indian textiles sector

● Scheme for Integrated Textile Parks (SITP): To facilitate textile units to meet
international and environmental standards by providing support for common
infrastructure and buildings within parks. SITPs dedicated to technical textiles,
namely, Pallavada Technical Textiles Park (Tamil Nadu), Vraj Integrated Textile
Park Ltd. (Gujarat), Mundra SEZ Integrated Textile and Apparel Park Pvt. Ltd
(Gujarat), Gouthambudha Textile Park Pvt. Ltd (Andhra Pradesh) and Great Indian
Linen & Textile Infra Structure Co. (P) Ltd (Tamil Nadu) are functional in the

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PRODUCTION LINKED INCENTIVE SCHEMES

country.

● Integrated Skill Development Scheme for the Textiles and Apparel Sector (ISDS):
This scheme aims to provide specific skills as per the requirement of apparel and
other segments of textile industry, as well as employee-trained person in related
occupations.

● Amended Technology Upgradation Fund Scheme (ATUFS): To enable technology


upgradation in textile sector by providing capital investment subsidy across
different segments of the textile value chain.

● Scheme for Capacity Building in Textile Sector (Samarth): The aim is to provide a
demand-driven, placement-oriented skilling program to incentivise the efforts of
the industry in creating jobs with a target to train 10 lakh persons.

8. RECENT INITIATIVES

● Government has abolished the anti-dumping duty on Purified Terephthalic Acid


(PTA), a key raw material for the manufacture of manmade fiber and yarn

● Harmonized System of Nomenclature (HSN) Codes for Technical Textile: In 2019,


the Ministry of Textile, Government of India dedicated 207 HSN Codes to technical
textiles to help in monitoring the data of import and export, boost international
trade and provide financial support and other incentives to manufacturers.

● Creation of Centres of Excellence: Ministry of Textiles had launched Technology


Mission on Technical Textiles (TMTT) with two mini-missions for a period of five
years from 2010-11 to 2014-15 which entailed the creation of 8 Centres of
Excellence to provide infrastructure support, leading research and conducting
tests of various technical textiles.

● Launch of National Technical Textile Mission - With a view to position the country
as a global leader in technical textiles, the Cabinet Committee on Economic Affairs
(CCEA), chaired by the Prime Minister Mr. Narendra Modi, has given its approval to
set up a National Technical Textiles Mission with a total outlay of USD 194 Mn in
February 2020.

● The Mission shall be set up for a 4-year implementation period from FY 2020-21 to
FY 2023-24 and will have the following four components:

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PRODUCTION LINKED INCENTIVE SCHEMES

○ COMPONENT - I (Research, Innovation and Development)

○ COMPONENT – II (Promotion and Market Development)

○ COMPONENT - III (Export Promotion)

○ COMPONENT- IV (Education, Training, Skill Development)

● Ministry of Textiles has also invited proposals for constitution of a Dedicated


Export Promotion Council for Technical Textiles.

9. POLICY PUSH BY THE STATE GOVERNMENTS FOR MMF AND


TECHNICAL TEXTILES

Following states have been actively promoting technical textiles through their textile
policies.

Haryana The Government of Haryana has undertaken special


Textile Policy collaboration with IIT Delhi for skill training, entrepreneurship
20196 and new product development for 20 entrepreneurs per quarter.

● The state will reimburse 25% of cost incurred by the


entrepreneur for any such new product development (with a
cap of USD 20,446 - per product)

● Provision of capital subsidy of 15% maximum up to USD


33,783 approx. for capital investment for new projects to all
categories of technical textiles

● State government shall provide 50% sponsorship to these


entrepreneurs and government shall additionally reimburse
the recurring expenses incurred by IIT Delhi for running this
incubation centre subject to a ceiling of USD 175 per
entrepreneur

Gujarat ● Power tariff offers subsidy up to USD 0.026 per unit


Textile Policy

6
https://investharyana.in/content/pdfs/Textileper cent20Policyper cent202019.pdf

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PRODUCTION LINKED INCENTIVE SCHEMES

2018-237 ● Financial assistance through credit linked interest subsidy of


6% for MSME and for large enterprises the subsidy would be
4-6% with an upper ceiling of USD 2.05 Mn per annum

● 20% assistance on the cost of machinery with a ceiling of USD


40,892 which will be applicable in each case of energy
conservation, water conservation and environment
compliance

● 50% assistance for audit fees with a limit of USD 1,349

● For technology upgradation and modernisation, the scheme


provides one-time financial assistance of up to 50% of the
cost with a limit of USD 33,783.

● Technical textile park will be provided financial assistance of


25% of capital expenditure with a cap of USD 2.03 Mn along
with 100% stamp duty reimbursed on purchase of land.
Financial assistance of 25% of the cost of Hostel/ Dormitory
Housing within the park with a limit of USD 1.01 Mn.

Tamil Nadu ● Provision of funds of 9% of project cost for setting up of a


Integrated technical textile park under SITP
Textile Policy
● 6% additional interest subsidy for technical textile projects in
20198
addition to incentives from the central government

● 100% stamp duty exemption granted

● Creation of an overseas study fund to identify technical textile


markets and products

Maharashtra ● Bolstering up research & technical expertise created by


State institutes such as IITs, SASMIRA and WRA
Textile Policy
● Up to 40% capital subsidy for industries in technical textiles
2018-239
segment

7
https://ic.gujarat.gov.in/documents/policy/schemes-for-textiles-sectors10012019053545.pdf
8
http://www.spc.tn.gov.in/policy_doc/TN_Textile_Policy_2019.pdf
9
https://www.maharashtra.gov.in/Site/Upload/Governmentper
cent20Resolutions/Marathi/201802171625204302.pdf

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PRODUCTION LINKED INCENTIVE SCHEMES

● 9% of project cost, up to USD 2.55 Mn, is provided to technical


textile parks under SITP

● The policy also mentions collaboration with leading technical


institutes such as IIT- Bombay

● Power subsidy of USD 0.027 per unit will be given to technical


textile units which are using more than 107 HP

Karnataka ● The policy envisages creation of centers of excellence for


New Textile technical textiles with a grant of USD 1.35 Mn
and Garment
Policy ● Technical textiles projects are given a 15-25% capital subsidy
2019-2410 for large enterprises and 20-30% for MSMEs

● Interest subsidy of 5% per annum on term loans for first five


years

● Reimbursement of power cost paid at USD 0.013 for a period


of five years

● Stamp duty exemption and concessional registration charge


rate of USD 0.013 per USD 13.12

● 75% reimbursement of employer’s contribution towards


ESI/EPF for new Technical textile MSMEs with a cap of 5 years

Andhra For Textile plants with >50% investments in technical textile


Pradesh activities13,
Textile and
Apparel ● Reimbursement of 50% on cost of land, limited to 5% of Fixed
Policy 2018- Capital Investment (FCI).
2311
● 20% Capital Subsidy on FCI, with maximum limit ranging
between USD 2.3 Mn – 6.75 Mn

● 50% capital subsidy for green measures (establishment of


Effluent Treatment Plants), with a maximum limit ranging
between USD 2.7 Mn – 6.75 Mn

10
http://www.karnatakadht.org/english/pdf/order_new_textile_and_garment_policy_2019-24.pdf
https://www.apindustries.gov.in/APIndus/Data/GO/G.O_for_Textiles_and_Apparel_Policy_2018_23.
11

pdf

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PRODUCTION LINKED INCENTIVE SCHEMES

● Interest subvention of 8% per annum for 7 years. It will be


capped at 12.5% taking into account assistance from all
sources Interest subsidy.

● Power cost reimbursement of USD 0.027 per unit for a period


of 5 years

● Employment subsidy of USD 13.5/employee/month for 5


years for people of AP domicile (or) Reimbursement of 100%
of Net SGST accrued for 5 years or up to 100% of FCI,

● 50% financial assistance to enterprises acquiring technology,


subject to a maximum amount of USD 33,789 per
process/product14

10. KEY PLAYERS

http://www.apindustries.gov.in/APIndus/Data/Industry/Textileper cent20Policy_April_2_2015.pdf
14

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PRODUCTION LINKED INCENTIVE SCHEMES

11.DETAILS OF THE PLI SCHEME

The PLI scheme will attract large investment in the sector to further boost domestic
manufacturing, especially in the Man-Made Fibres, Man-Made Apparel and technical
textiles.

Objective:
➢ To enable Textiles Industry to achieve size and scale
➢ To enhance competitiveness
➢ To capture substantial share in the international market.
➢ To support MSMEs manufacturing.
➢ To create 60-70 world class global champion company in these segments.
➢ To attract and invite investment in the sector
➢ Creation of employment opportunities

Initiating Ministry/ Department: Ministry of Textiles

Project Management Agency (PMA): The scheme shall be implemented with the
help of a PMA.

Review and Monitoring of the Scheme: Empowered Group of Secretaries (EGoS), as


constituted vide gazette Notification No. P 36017/144/2020- Investment &
Promotion dated 10.06.2020 issued by DPIIT will monitor the implementation of the
scheme.

2 parts of the PLI scheme of Textiles


Performance Incentive Part 1 Part 2
Year Claim Year Min Investment: INR Min Investment: INR 100
Gestation 300 Cr Cr
Period Minimum Minimum
Incentive Prescribed Incentive Prescribed
(%) Turnover (%) Turnover
(INR Cr) (INR Cr)

FY 2022-
23
FY 2023- Optional* Optional*
24
Year 1 FY 2024-25 FY 2025-26 15 11
600 200

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PRODUCTION LINKED INCENTIVE SCHEMES

Year 2 FY 2025-26 FY 2026-27 14 10


750 250

Year 3 FY 2026-27 FY 2027-28 13 9


937.5 312.5

Year 4 FY 2027-28 FY 2028-29 12 8


1171.87 390.63

Year 5 FY 2028-29 FY 2029-30 11 7


1464.84 488.2

Implementation Timeline: The scheme shall be valid upto 2029-30. Incentives under
the scheme will be available for 5 years period i.e. during FY 2025-26 to FY 2029-30
on incremental turnover achieved during FY 2024-25 to FY 2028-29 The gestation
period for both parts of the scheme will be of two (2) years i.e. FY: 2022-23 to FY:
2023-24

Approved financial outlay over a five-year period: INR 10683 crore / ~ USD 1 Bn

Application window for registration under the scheme shall be opened for the
period: January 1- January 31, 2022
- Last date for raising query: 10 days from the date of on-line submission of
application
- Last date for compliance: 10 days from the date of receipt of queries through
email

Online portal for apllications: https://pli.texmin.gov.in/mainapp/Default

Expected Outcome: It is estimated that over the period of five years, the PLI Scheme
for Textiles will lead to:
• fresh investment of more than INR 19,000 crore
• cumulative turnover of over INR 3 lakh crore will be achieved under this
scheme
• Create additional employment opportunities of more than 7.5 lakh jobs in this
sector and several lakhs more for supporting activities.
• The textiles industry predominantly employs women, therefore, the scheme
will empower women and increase their participation in formal economy.

For detailed guidelines, please refer to:


http://texmin.nic.in/sites/default/files/Approved%20Guidelines%20for%20PLI%20sc
heme%20for%20Textiles%2028-12-2021.pdf

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PRODUCTION LINKED INCENTIVE SCHEMES

Product List of MMF Apparels

Product code (6 Product label Product code (8 Product Description


Digit HS Code) Digit HS Code)
611030 Jerseys, pullovers, 61103010 JERSEYS ETC OF SYN
cardigans, waistcoats and FIBRES
similar articles, of manmade 61103020 JERSEYS ETC OF
fibres, knitted… ARTIFICIAL FIBRES
620193 Men's or boys' anoraks, 62019300 OTHER SMLR ARTCLS OF
windcheaters, wind jackets MAN-MDE FBRS
and similar articles, of man-
made fibres…
620293 Women's or girls' anoraks, 62029310 WIND AND SKI-JACKETS,
windcheaters, wind jackets WIND CHEATERS
and similar articles, of man-
made fibres…
620343 Men's or boys' trousers, bib 62034300 TROUSERS,BIB AND
and brace overalls, breeches BRACE,OVERALLS,BREECHE
and shorts of synthetic S
fibres (excluding… AND SHORTS OF
SYNTHETIC FIBRS,MENS OR
BOYS
610463 Women's or girls' trousers, 61046300 TROUSERS,BIB AND BRACE
bib and brace overalls, OVERALLS,BREECHES
breeches and shorts of AND SHORTS OF
synthetic fibres… SYNTHETIC FIBRES
620463 Women's or girls' trousers, 62046300 TROUSERS,BIB AND BRACE
bib and brace overalls, OVERALLS, BREECHES
breeches and shorts of AND SHORTS OF
synthetic fibres… SYNTHETIC FIBRES
620213 Women's or girls' overcoats, 62021300 OVERCOATS,RAINCOATS,C
raincoats, car coats, capes, ARCOATS,CAPES,CLOAKS
cloaks and similar articles, AND SIMILAR ARTICLES OF
of man-made… MAN MADE FIBRES
610443 Women's or girls' dresses of 61044300 DRESSES OF SYNTHETIC
synthetic fibres, knitted or FIBRES
crocheted (excluding
petticoats)

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PRODUCTION LINKED INCENTIVE SCHEMES

611596 Full-length or knee-length 61159600 OTHER HOSIERY GOODS OF


stockings, socks and other SYNTHETIC
hosiery, incl. footwear
without applied…
620433 Women's or girls' jackets 62043300 JACKETS OF SYNTHETIC
and blazers of synthetic FIBRES
fibres (excluding knitted or
crocheted…
610343 Men's or boys' trousers, bib 61034300 TROUSERS,SHORTS ETC OF
and brace overalls, breeches SYNTHETIC FIBRES
and shorts of synthetic
fibres, knitted…
611241 Women's or girls' swimwear 61124100 WOMENS/GIRLS
of synthetic fibres, knitted or SWIMWEAR OF SYNTHTC
crocheted FBRS
611430 Special garments for 61143010 OTHER GARMENTS OF
professional, sporting or SYNTHETIC FIBRES
other purposes, n.e.s., of
man-made fibres,…
61143020 OTHR GARMENTS OF
ARTIFICIAL FIBRES
610822 Women's or girls' briefs and 61082210 BRIEFS AND PANTIES OF
panties of man-made fibres, SYN FIBRES
knitted or crocheted
61082220 BRIEFS AND PANTIES OF
ARTIFICIAL FIBRES
620333 Men's or boys' jackets and 62033300 JACKTS AND BLAZERS OF
blazers of synthetic fibres SYNTHETIC FIBRES
(excluding knitted or
crocheted, and ...
621133 Men's or boys' tracksuits and 62113300 OTHR GRMNTS OF MAN-
other garments, n.e.s. of MDE FBRS FR MENS/BOYS
man-made fibres (exckuding
knitted…
620113 Men's or boys' overcoats, 62011310 RAINCOATS OF MAN-MADE
raincoats, car coats, capes, FIBRES
cloaks and similar articles,
of man-made…

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PRODUCTION LINKED INCENTIVE SCHEMES

620453 Women's or girls' skirts and 62045300 SKIRTS AND DIVIDED


divided skirts of synthetic SKIRTS OF SYNTHETIC
fibres (excluding knitted or FIBRS
crocheted…
610230 Women's or girls' overcoats, 61023010 OVRCOAT ETC OF
car coats, capes, cloaks, SYNTHETIC FIBRES
anoraks, incl. ski jackets,
windcheaters,…
61023020 OVRCOT ETC OF ARTIFICIAL
FIBRES
620530 Men's or boys' shirts of man- 62053000 MENS OR BOYS SHIRTS OF
made fibres (excluding MAN-MADE FIBRES
knitted or crocheted,
nightshirts, singlets…
610832 Women's or girls' 61083210 NIGHTDRESSES AND
nightdresses and pyjamas of PYJAMAS OF SYN FIBRES
man-made fibres, knitted or
crocheted (excluding…
61083220 NIGHTDRESSES AND
PYAJAMAS OF ARTIFICIAL
FIBRES
610620 Women's or girls' blouses, 61062010 BLOUSE ETC OF SYNTHETIC
shirts and shirt-blouses of FIBRES
man-made fibres, knitted or
crocheted ...
61062020 BLOUSE ETC OF REGNRTD
FBRS(RAYON ETC)
610444 Women's or girls' dresses of 61044400 DRESSES OF ARTIFICIAL
artificial fibres, knitted or FIBRES
crocheted (excluding
petticoats)
610433 Women's or girls' jackets 61043300 JACKETS OF SYNTHETIC
and blazers of synthetic FIBRES
fibres, knitted or crocheted
(excluding…
621430 Shawls, scarves, mufflers, 62143000 SHWLS,SCRVS,MUFFLERS
mantillas, veils and similar ETC OF SYNTHTC FBRS
articles of synthetic fibres
(excluding ...

23
PRODUCTION LINKED INCENTIVE SCHEMES

610892 Women's or girls' négligés, 61089210 NEGLIGES ETC OF


bathrobes, dressing gowns, SYNTHETIC FIBRES
housejackets and similar
articles of…
61089220 NEGLIGES, BATHROBES ETC
OF ARTIFICIAL FIBRES
611521 Pantyhose and tights of 61152100 PANTY HOSE AND TIGHTS
synthetic fibres, knitted or OF SYNTHTC FIBRES
crocheted, MSRNG PER SINGLE YRN
measuring per single LESS THN 67 DECITEX
yarn <...
610130 Overcoats, car coats, capes, 61013010 OVRCOAT ETC OF
cloaks, anoraks, incl. ski SYNTHETIC FIBRES
jackets, windcheaters, wind-
jackets…
61013020 OVRCOT ETC OF ARTIFICIAL
FIBRES
610712 Men's or boys' underpants 61071210 UNDERPANTS AND BRIEFS
and briefs of man-made OF SYN FIBRES
fibres, knitted or crocheted
61071220 UNDERPANTS AND BRIEFS
OF ARTIFICIAL FIBRES
611693 Gloves, mittens and mitts, of 61169300 OTHER GLOVES ETC OF
synthetic fibres, knitted or SYNTHETIC FIBRES
crocheted (excluding
impregnated, ...
610453 Women's or girls' skirts and 61045300 SKIRTS AND DIVIDED
divided skirts of synthetic SKIRTS OF SYNTHTC
fibres, knitted or crocheted FIBRES
(excluding
...
621111 Men's or boys' swimwear 62111100 SWIMWEAR FOR MENS OR
(excluding knitted or BOYS
crocheted)
620312 Men's or boys' suits of 62031200 SUITS OF SYNTHETIC
synthetic fibres (excluding FIBRES
knitted or crocheted,
tracksuits, ski suits ...

24
PRODUCTION LINKED INCENTIVE SCHEMES

611212 Track-suits of synthetic 61121200 TRACK SUITS OF


fibres, knitted or crocheted SYNTHETIC FIBRES
620930 Babies' garments and 62093000 BABIES GRMNTS AND
clothing accessories of CLOTHNG ACCESS OF SYN
synthetic fibres (excluding FIBR
knitted or
crocheted ...
620892 Women's or girls' singlets 62089210 DRESSING GOWNS AND
and other vests, briefs, BATHROBES
panties, négligés, bathrobes,
dressing ...
611522 Pantyhose and tights of 61152200 PANTY HOSE AND TIGHTS
synthetic fibres, knitted or OF SYNTHETIC FIBRES
crocheted measuring per MSRNG PER SINGLE YRN 67
single DECITEX OR MORE
yarn >= ...
610722 Men's or boys' nightshirts 61072210 NIGHTSHIRTS AND
and pyjamas of man-made PYJAMAS OF SYN FIBRES
fibres, knitted or crocheted
(excluding ...
61072220 NIGHTSHIRTS AND
PYAJAMAS OF ARTIFICIAL
FIBRES
611231 Men's or boys' swimwear of 61123100 MENS/BOYS SWIMWEAR OF
synthetic fibres, knitted or SYNTHTC FBRS
crocheted
621112 Women's or girls' swimwear 62111200 SWIMWEAR FOR WOMENS
(excluding knitted or OR GIRLS
crocheted)

List of MMF Fabrics


Products will be primarily identified at 6 digits HS code

Product code Product label Product code (8 Product Description


(6 Digit HS Digit HS Code)
Code)

25
PRODUCTION LINKED INCENTIVE SCHEMES

540752 Woven fabrics of yarn containing 54075210 POLYESTER SHIRTINGS


>= 85% by weight of textured
polyester filaments, incl.
monofilament ...
54075220 POLYESTER SIUTINGS

600632 Dyed fabrics, knitted or 60063200 OTHR KNITD OR


crocheted, of synthetic fibres, of CROCHETD FBRCS OF
a width of > 30 cm (excluding SYN FIBRS, DYED
warp ...
540761 Woven fabrics of yarn containing 54076110 POLYESTER SHIRTINGS
>= 85% by weight of non-textured
polyester filaments, incl. ...
54076120 POLYESTER SUITINGS

600192 Pile fabrics of man-made fibres, 60019200 OTHER PILE FABRICS


knitted or crocheted (excluding OF MANMADE FIBRES
"long pile" fabrics)
540754 Woven fabrics of yarn containing 54075420 POLYESTER SHIRTING
>= 85% by weight of textured
polyester filaments, incl.
monofilament ...
580632 Narrow woven fabrics of man- 58063200 OTHER NARROW
made fibres, with a width of <= WOVEN FBRCS OF
30 cm, n.e.s. MAN-MADE FIBRE
551511 Woven fabrics containing 55151110 FBRC OF POLSTR,MXD
predominantly, but < 85% WTH VISCOS
polyester staple fibres by weight, RYON,UNBLCHD
mixed ...
55151120 FBRC OF POLSTR,MXD
WTH VISCOS
RYON,BLCHD
55151130 FBRC OF POLSTR,MXD
WTH VISCOS
RYON,DYED
55151140 FBRC OF POLSTR,MXD
WTH VISCOS
RYON,PRINTD

26
PRODUCTION LINKED INCENTIVE SCHEMES

600537 Dyed warp knit fabrics of 60053700 OTHER, DYED


synthetic fibres "incl. those made
on galloon knitting machines", ...
551614 Woven fabrics containing >= 85% 55161410 SPUN RAYON PRINTED
artificial staple fibres by weight, SHANTUNG
printed
540742 Woven fabrics of filament yarn 54074210 NYLON BRASSO
containing >= 85% nylon or other
polyamides by weight, incl. ...
54074220 NYLON GEORGETTE

54074230 NYLON TAFETTA

551219 Woven fabrics containing >= 85% 55121910 OTHR WOVN FBRCS,
polyester staple fibres by weight, DYED CNTNG POLYETR
dyed, made of yarn of different ... >= 85%
55121920 OTHR WOVN
FBRCS,PRINTD CNTNG
POLYETR> =85%
540710 Woven fabrics of high-tenacity 54071013 UNBLECHD NYLON
yarn, nylon, other polyamides or FURNISHG FBRCS
polyesters, incl. monofilament ...
54071015 UNBLECHD OTHR
NYLON/POLYAMIDE
FBRCS (FILAMENT )
54071016 UNBLECHD POLYESTER
SUITINGS
54071019 UNBLECHD OTHR
POLYESTER FABRICS
54071023 BLECHD NYLON
FURNISHN FBRCS
54071025 BLECHD OTHR
NYLON/POLYAMIDE
FBRCS ( FILAMENT )
54071026 BLECHD POLYESTER
SUITNGS
54071033 DYED NYLON
FURNISHG FBRCS

27
PRODUCTION LINKED INCENTIVE SCHEMES

54071035 DYED OTHR


NYLON/POLYAMIDE
FBRCS ( FILAMENT )
54071036 DYED POLYESTER
SUITNGS
54071043 PRINTED NYLON
FURNISNG FBRCS
54071045 PRINTED OTHR
NYLON/POLYAMIDE
FBRCS ( FILAMENT )
54071046 PRINTED POLYESTER
SUITNGS
54071049 PRINTED OTHR
POLYESTER FBRCS
54071093 OTHR NYLON
FURNISNS FBRCS
54071096 OTHR POLYESTER
SUITNGS
54071099 OTHR POLYESTER
FBRCS NES
540720 Woven fabrics of strip or the like, 54072010 UNBLECHD WVEN
of synthetic filament, incl. FBRCS FROM
monofilament of >= 67 decitex ... STRIP/THE LIKE
54072020 BLECHD WVEN FBRCS
FROM STRIP/THE LIKE
54072030 DYED WVEN FBRCS
FROM STRIP/THE LIKE
54072040 PRINTED WVEN FBRCS
FROM STRIP/THE LIKE
540769 Woven fabrics of yarn containing 54076900 WOVN FBRCS
>= 85% by weight of mixtures of CONTNNG 85% OR
textured and non-textured ... MORE BY WT OF OTHR
THN NNTXTRD
POLYSTR FLMNTS

List of Technical Textile Products

28
PRODUCTION LINKED INCENTIVE SCHEMES

Segments Products Interactive HSN Description


Code
Geo-textiles Geo-grids 56039400 Non-woven -OTHER :
weighing more than 150
g/m2
Geo-nets 54079110 Other Woven fabrics :
unbleached or bleached :
unbleached
54077110 Other Woven fabrics,
containing 85% or more by
weight of synthetic filaments
: unbleached
or bleached : unbleached
Geo-membranes 54071099 Woven Fabrics obtained from
high tenacity yarn of nylon or
other polyamides or of
polyesters: other :other
54071019 Unbleached other polyester
Fabrics
Geo-tubes/Geo-bags 63059000 Sacks and bags, of a kind
used for the packing of
goods of other textile
materials
39174000 Fittings for tube pipes and
hoses of plastic
Geo-textiles made from 53110015 Woven fabrics of other
natural fibres vegetable textile fibres ;
Woven fabrics of paper yarn :
Of coir including log form
and geotextiles
Agro-textiles Shade-nets 60059000 Warp knit fabrics (including
those made on galloon
knitting machines), other
94060011 Green house- in ready to
assemble Sets
Mulch-mats 56031200 Nonwovens, whether or not

29
PRODUCTION LINKED INCENTIVE SCHEMES

impregnated, coated,
covered or laminated
weighing between
25G/SQM and 70 G/SQM -
manmade
filament WGHNG>25g
/sqm
Anti-hail/Anti-bird/Anti- 60059000 warp knitted fabrics of wool
fog protection nets or fine animal hair
Fishing nets 56075010 Nylon Fish Net Twine

Crop covers 56031100 Coated, covered or laminated


nonwoven
made from manmade
filament with weight less
than 25 g/ sqm
Turf protection nets 56031300 Coated, covered or laminated
nonwoven
made from manmade
filament with weight between
70 to 150 G/ SQM
Medical/ Hygiene Body Diapers, Adult 96190010 Sanitary towels (pads) or
Textiles Diapers, Incontinence sanitary
Diapers, Sanitary Napkins
Napkins 96190020 Sanitary towels (pads) and
tampons, napkins and napkin
liners for babies and similar
articles, of any material
:Tampons
96190030 Sanitary towels (pads) and
tampons, napkins and napkin
liners for babies and similar
articles, of any material :
Napkins and Napkin liners
for babies
96190040 Clinical Diapers

30
PRODUCTION LINKED INCENTIVE SCHEMES

96190090 Sanitary towels (pads) and


tampons, napkins and napkin
liners for babies and similar
articles, of any material :
Other
Surgical Dressings, 59061000 Adhesive Tape Of A Width
Bandages, wound care Not Exceeding 20 cm.
products 30051010 Adhesive Gauze Bandage

30051020 Adhesive Tape (Medicinal)

30059040 Bandages Without Adhesive


Layer
30059050 Burn Therapy Dressing
Soaked In Protective Gel
56012200 Wadding; Other Articles Of
Cotton Wadding: Other (Of
manmade
fibres)
56012900 Wadding Of Textile Materials
And Articles Thereof; Textile
Fibres, Not Exceeding 5 Mm
In Length (Flock), Textile
Dust And
Mill Neps: Wadding Of Man-
Made Fibres (other)
Compression stockings 61151000 Panty hose, tights, stockings,
for varicose socks and other hosiery,
Veins including
graduated compression
hosiery (for example,
stockings for varicose veins)
and footwear
without applied soles, knitted
or crocheted : Graduated
compression hosiery (for
example, stockings for
varicose

31
PRODUCTION LINKED INCENTIVE SCHEMES

veins)

Surgical Sutures 30061010 Sterile, surgical catgut and


similar sterile suture
materials(including
sterile absorbable surgical or
dental yarns) and sterile
tissue
adhesives for surgical would
closure
Defence Textile Bullet Proof Jackets, 62104010 Garments, Made Up Of
Vests and Uniforms Fabrics Of Heading 5602,
Nuclear, Biological and 5603, 5903,
Chemical Warfare Suits 5906 Or 5907 - Other Mens
Or Boys Garments : Bullet
High visibility clothing
Proof jacket, Bomb Disposal
and Infrared clothing for
Jacket The Like
military use
High Altitude clothing 62102010 Garments, made up of
fabrics of heading 5602,
5603, 5903, 5906 or 5907 -
other garments, of the type
described in subheadings
6201 11 to 6201 19 : outer
garments, of rubberised
62102020 textile fabrics
Fighter Aircraft Clothing Garments, made up of
fabrics of heading 5602,
5603, 5903, 5906 or 5907 -
62103010 other garments, of the type
described in subheadings
6201 11 to 6201 19 : outer
garments, of fabrics
impregnated, coated,
covered or laminated with
preparations of cellulose
derivatives and other
artificial
plastic materials

32
PRODUCTION LINKED INCENTIVE SCHEMES

Sub-marine clothing Garments, made up of


fabrics of heading 5602,
5603, 5903, 5906 or 5907 -
other garments, of the type
described in subheadings
6202 11 to 6202 19 : outer
garments, of fabrics
62104090 impregnated, coated,
covered or laminated with
preparations of cellulose
derivatives and other
artificial
plastic materials
Garments, made up of
fabrics of heading 5602,
5603, 5903, 5906 or 5907 -
other mens or boys garments
: other
Tents, Parachutes, 63062200 Tarpaulins, awnings and
collapsible textiles sunblinds; tents; sails for
housing for military use boats, sailboards or
landcraft; camping goods
tents: of synthetic fibres
Special masks including 90200000 Other Breathing Appliances
Gas masks And Gas Masks, Excluding
Protective Masks Having
Neither Mechanical Parts
Nor
Replaceable Filters
Helmets and safety 65061010 Other Headgear, Whether Or
equipment (textile Not Lined Or Trimmed Safety
compared) for military Headgear: Speed Glass
use Welding Helmets Or Other
Helmets
Mobile Textiles: Safety airbags for 87089500 Parts and accessories of the
automobiles motor vehicles of headings
8701 to 8705 - other parts
and accessories -- safety

33
PRODUCTION LINKED INCENTIVE SCHEMES

airbags with inflater system;


parts thereof
Automobile Tyre cords 56041000 Rubber Thread And Cord,
Textile Covered
56075020 Nylon Tyre Cord

56075030 Viscose Tyre Cord

59021010 Tyre Cord Fabric Of High


Tenacity Yarn Of Nylon Or
Other Polyamides:
Impregnated With
Rubber
59021090 Tyre cord fabric Of nylon or
other polyamides: Others
59022010 Tyre Cord Fabric Of
Polyester: Impregnated With
Rubber
59022090 Tyre cord fabric Of
polyesters: Others
59029010 Tyre Cord Fabric Of Others:
Impregnated With Rubber
59029090 Tyre cord fabric of high
tenacity yarn of nylon or
other polyamides,
polysters or viscose rayon:
Others
Seat webbing for 87082100 Parts and accessories of the
automobiles and motor vehicles of headings
Aircrafts 8701 to 8705
: Other parts and accessories
of bodies (including cabs) :
Safety
seat belts
Air and oil filters for 84212300 Centrifuges, Including
automobiles, railways Centrifugal Dryers; Filtering
coach, aircraft Or Purifying

34
PRODUCTION LINKED INCENTIVE SCHEMES

Machinery And Apparatus,


For Liquids Or Gases
Filtering Or
Purifying Machinery And
Apparatus For Liquids: Oil Or
Petrol-Filters For Internal
Combustion Engines
Sports Textiles Parachute 54071011 Unbleached Parachute
fabrics/Ballooning Fabrics
fabric for sports use 54071021 Bleached Parachute Fabrics

54071031 Dyed Parachute Fabrics

54071041 Printed Parachute Fabrics

54071091 Other Parachute Fabrics

Sailing cloth 63061990 Other Tarpaulins, Awnings


And Sunblinds; Tents; Sails
For Boats,
Sailboards Or Landcraft;
Camping Goods
Protective equipment 95069110 Articles And Equipment For
for cricket, boxing and General Physical Exercise,
other sports ( Leg guard, Gymnastics Or Athletics:
Batting gloves, Thigh Boxing Equipment
pad) 95069920 Articles And Equipment For
General Physical Exercise,
Gymnastics, Athletics, Other
Sports: Other : Leg Pads And
Bats For Cricket
95069990 Articles and equipment for
general physical exercise,
gymnastics, athletics, other
sports
(including tabletennis) or
Out-door games, not
specified or included

35
PRODUCTION LINKED INCENTIVE SCHEMES

elsewhere in this chapter;


swimming pools and
paddling
pools - other: -other : other
Protective Textiles Personal Protective 62102010 Garments, made up of
(other than Equipment for medical fabrics of heading 5602,
defence textiles): use 5603, 5903, 5906 or 5907 -
other garments, of the type
described in
subheadings 6201 11 to
6201 19 : outer garments, of
rubberised
textile fabrics
Fire retardant/Fire Garments, made up of
protection clothing fabrics of heading 5602,
5603, 5903, 5906 or 5907
62105000 other womens or girls
garments
Chemical/Petrochemical Garments, made up of
protection clothing fabrics of heading 5602,
Electric Arc protection 5603, 5903, 5906
clothing or 5907 – other garments, of
the
Fire retardant fabrics
type described in
subheadings 6202 11 to
6202 19 : outer garments, of
fabrics
impregnated, coated,
62103010 covered or laminated with
preparations of cellulose
derivatives and other
artificial
plastic materials
Industrial gloves, 61161000 Gloves, Mittens And Mitts,
Industrial protection Knitted Or Crocheted
clothing including high Impregnated, Coated Or
visibility clothing for Covered With Plastics Or
non-military use Rubber

36
PRODUCTION LINKED INCENTIVE SCHEMES

N-95 and N-99 Masks 90200000 Other Breathing Appliances


(FFP-2 and FFP-3 And
masks), Gas Masks Gas Masks, Excluding
Protective Masks Having
Neither Mechanical Parts
Nor
Replaceable Filters
Building/ Architectural 39219099 Other plates, sheets, film, foil
Construction Membranes and strip, of plastics - other :
Textiles: other :
other
Wall coverings 59050090 Textile Wall Coverings: Other

59050010 Textile Wall Coverings: Fixed


On The Backing Of Any
Material
Awnings & canopy 63061200 Tarpaulins, Awnings and
Sunblinds etc.: Of Synthetic
Fibres
63061920 Tarpaulins, awnings and
sunblinds; tents; sails for
boats,
sailboards or landcraft;
camping goods tarpaulins,
awnings and sunblinds: of
other
textile materials: blinds or
awnings of coir
Floor Coverings for 39181010 FLOOR COVERINGS OF
special purposes such PLASTICS, WHETHER OR
as fire retardant, fire NOT SELF ADHESIVE, IN
resistant, chemical ROLLS OR IN THE FORM OF
resistant, antistatic TILES; WALL OR CEILING
and dust resistant / and COVERINGS OF PLASTICS,
composite Board for AS DEFINED IN NOTE 9 TO
train coaches THIS CHAPTER-Of polymers
of vinyl chloride: Wall or
ceiling coverings combined
with - knitted

37
PRODUCTION LINKED INCENTIVE SCHEMES

or woven fabrics, nonwovens


or felt
39189020 FLOOR COVERINGS OF
PLASTICS, WHETHER OR
NOT SELF ADHESIVE, IN
ROLLS OR IN THE FORM OF
TILES; WALL OR CEILING
COVERINGS OF PLASTICS,
AS DEFINED IN NOTE 9 TO
THIS CHAPTER-Of other
plastics: Wall or ceiling
coverings combined with -
knitted or woven
fabrics, nonwovens or felt
57032010 CARPETS AND OTHER
TEXTILE FLOOR COVERINGS,
TUFTED, WHETHER OR NOT
MADE UP, Of nylon or other
polyamides; Carpets,
carpeting
and rugs
57033010 CARPETS AND OTHER
TEXTILE FLOOR
COVERINGS,TUFTED,
WHETHER OR NOT
MADE UP, Of other man-
made textile materials
Carpets,
carpeting and rugs
Specialty Fibres & Carbon Fibre 68159990 Articles of stone or of other
Composites: mineral substances
(including
carbon fibres, articles of
carbon fibres and articles of
peat), not elsewhere
specified or
included other articles: other:
other

38
PRODUCTION LINKED INCENTIVE SCHEMES

68151090 Articles of stone or of other


mineral substances
(including
carbon fibres, articles of
carbon fibres and articles of
peat), not
elsewhere specified or
included non-electrical
articles of graphite
or other carbon: other
Aramids, Meta Aramids, 70191900 Glass Fibres (Including Glass
Para- Wool): Other (Silvers, Yarn)
Aramids, Kevlar
Nylon 66 54061000 Man-Made Filament Yarn
(Other Than Sewing Thread),
Put Up For Retail Sale
Synthetic Filament Yarn
Glass Fibres, Basalt 70191100 Glass Fibres (Including Glass
Fibres Wool): Chopped Strands Of A
Length Not More Than 50
mm
70191200 Glass Fibres (Including Glass
Wool): Rovings
70191900 Glass Fibres (Including Glass
Wool): Other (Silvers, Yarn)
70193100 Glass Fibres (Including Glass
Wool): Glass Mats
70193200 Glass Fibres (Including Glass
Wool): Glass Thin Sheets
(Voils)
70193900 Glass Fibres (Including Glass
Wool): Other (Webs
Mattresses Boards etc)
70194000 Glass Fibres (Including Glass
Wool): Woven Fabrics Of
Rovings
70195100 Glass Fibres (Including Glass
Wool) Woven Fabrics
(Excluding

39
PRODUCTION LINKED INCENTIVE SCHEMES

Rovings) Of a Wdth Not More


Than 30 Cm
70195200 Glass Fibres (Including Glass
Wool) Woven Fabrics
(Excluding
Rovings) Of a Width More
Than 30 Cm Plain Weave,
Weighing
Less Than 250 g/sqm, Of
Filaments Measuring Per
Single Yarn Not More Than
136 Tex
70195900 Other Woven Fabrics of glass

70199090 Other Made-Up Articles Of


Glass Fibres (Fibre Glass
Ultra High Molecular 54061000 Man-Made Filament Yarn
Weight (Other Than Sewing Thread),
Polyethylene Put Up For Retail Sale
Synthetic Filament Yarn
Composites made out of 70191900 Glass Fibres (Including Glass
all above Wool): Other (Webs
fibres (i) to (v) Mattresses Boards etc)
68151090 Articles of stone or of other
mineral substances
(including
carbon fibres, articles of
carbon fibres and articles of
Peat), not elsewhere
specified or
included other articles: other:
other
Smart Textiles embedded with active devices Smart Textiles is a new
for medical, defence and special uses. generation niche product.
Any Smart Textiles product
will be a combination of
varieties of wearable
materials embedded

40
PRODUCTION LINKED INCENTIVE SCHEMES

with electronics. The


description does not fit into
any particular HSN Code at
present. A suitable HSN
Code at 8-digit need to be
created afresh for this
product

Conclusion
This paper described the PLI scheme for the textiles sector which was recently
approved by the Union Cabinet. The assessed benefit of introducing PLI in MMF
segment and Technical Textiles will mean that a number of global and domestic
companies, including numerous MSMEs are likely to benefit from the scheme. It is
expected to be instrumental in achieving growth rates that are much higher than
existing ones for MMF and technical textile industries, develop complete component
eco-systems in India and create global champions manufacturing in India. They will
have to meet the compulsory BIS Quality standards for sales into the domestic market
and also the applicable standards for global markets. The PLI schemes will also lead
to investments in innovation, research and development and upgradation of
technologies developed and deployed by this sector.

This is in addition to PLI schemes for 10 other major sectors of the Indian economy
chosen to spearhead the step towards the vision of “AatmaNirbhar Bharat Abhiyan”.
This scheme has been announced as part of the larger, ongoing campaign by the
Indian government to promote resilience in domestic industries and strengthen their
export capacities to ensure that India becomes an integral pillar in the global value
chains.

The “AatmaNirbhar Bharat Abhiyan” was launched last year by Prime Minister
Narendra Modi in the context of the global coronavirus pandemic that continues to
significantly affect lives and livelihoods. It further led to a growing consensus about
reducing over-dependence on a handful of countries for global supplies and promoting
better capacities in domestic industries so they can cushion against future external
shocks like disasters and pandemics. As a part of the “AatmaNirbhar Bharat Abhiyan,”
the widening of PLI scheme to a vast array of sectors provides immense scope for
Indian manufacturing to bolster and prosper.

41
PRODUCTION LINKED INCENTIVE SCHEMES

As the world continues to grapple with the pandemic while economies reorient
themselves to the new reality, it is clear that the learnings from this pandemic will play
an important role in deciding the future role of many major countries, particularly those
like India, having both vast potential and populations.

Contributors

42
PRODUCTION LINKED INCENTIVE SCHEMES

43

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