PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles

The Production Linked Incentive (PLI) Scheme for Textiles Part-1 is run by the Ministry of Textiles, Government of India, and pays manufacturers a cash reward tied to the extra turnover they generate from notified textile products. It forms one half of a two-part structure — Part-2 being the other — and focuses on three product families: Man-Made Fibre (MMF) apparel, MMF fabrics and technical textiles.

Textiles already account for a large slice of India's industrial output, exports and employment. This programme is built to push manufacturers toward bigger scale and stronger standing in international markets by sharing part of the return on heavy investment in modern machinery and processes. The intent is a more capable, export-ready domestic industry that also creates jobs, especially around existing textile clusters.

The Ministry of Textiles implements the scheme with help from a dedicated Project Management Agency (PMA), while an Empowered Group of Secretaries (EGoS) provides oversight. Applications are accepted on a rolling basis, and the scheme stays operational till 31 March 2030.

• Cash incentive on incremental turnover from MMF apparel, MMF fabrics and technical textiles
• Incentive rate starts at 15% in Year 1 and tapers to 11% by Year 5
• Minimum investment of ₹300 crore (land and administrative building excluded) and Year 1 turnover of ₹600 crore
• Incentives payable for up to 5 consecutive performance years
• Applications are rolling / always open; scheme runs till 31 March 2030
• Application fee of ₹50,000, submitted online through the Ministry of Textiles PLI portal

This is a scheme for manufacturers committing serious capital, not for early-stage ventures. The entry bar is deliberately high.

• You must set up a new company under the Companies Act, 2013.
• Applicants can be a company, firm, LLP or trust incorporated in India.
• A minimum investment of ₹300 crore is required, and land plus administrative building costs are excluded from that count.
• You must reach a minimum turnover of ₹600 crore in the first performance year.
• Only notified textile products may be manufactured under the scheme.
• A minimum value addition of 60% must be maintained, or 30% in the case of processing.
• PAN, GST and DIN are mandatory.

The products covered are MMF apparel, MMF fabrics and technical textiles, so applicants should be building capacity in those categories specifically.

PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles is open to startups at any stage. It is open to startups registered anywhere in India.

PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

The reward is a percentage of the incremental turnover a participant earns from notified textile products manufactured in India. Rates for Part-1 are front-loaded and step down each year: 15% on ₹600 crore turnover in Year 1, easing to 11% on ₹1464.84 crore by Year 5.

• Incentives can be claimed for a maximum of 5 consecutive performance years.
• From Year 2 onward, a participant must show at least 25% incremental turnover over the previous year.
• The incentive is capped at 35% growth on incremental turnover.

Approved companies must also meet the prescribed minimum threshold investment and turnover targets. Disbursement happens once a year and lands directly in the participant's bank account through the Public Financial Management System (PFMS). Claims are processed by the PMA within 45 days, and funds are released within 15 days of approval.

PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles is offered by Ministry of Textiles, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India. You can verify current details and timelines on the provider's official website before applying.

Every application goes through a multi-stage review before any incentive commitment is made.

• Initial screening by the PMA. The Project Management Agency checks the submission for completeness and confirms it clears the basic eligibility conditions.
• Evaluation by the Selection Committee. A dedicated committee of experts and government representatives studies the proposed investment, the employment a project is likely to generate, technical capacity and the chosen location. Preference is given to aspirational districts and Category C cities.
• Presentations or discussions. Shortlisted applicants may be called in to clarify or defend their proposals before a final call is taken.
• Letter of Approval. Successful applicants receive a formal approval letter admitting them into the scheme.
• Post-approval obligations. Approved participants must begin manufacturing the notified products, work toward the agreed investment and turnover targets, and then file incentive claims online each year for verification and approval.

Before you apply to PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles, keep the following documents ready:

• A pitch deck or short business plan describing the problem, product and traction
• Company registration documents and PAN
• Founder identification (PAN / Aadhaar) and brief profiles
• Recent financial statements or projections
• Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.