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

The scheme pays a percentage of your incremental turnover rather than a fixed grant. For Part-1, that rate is 15% in Year 1 on ₹600 crore turnover and steps down to 11% on ₹1464.84 crore by Year 5. Incentives can be claimed for a maximum of five consecutive performance years. There is no single headline amount because the payout depends entirely on how much extra turnover you generate.

No fixed last date is attached to this scheme. Applications are accepted on a rolling, always-open basis, and the scheme remains operational till 31 March 2030. That said, since incentives run for a maximum of five performance years, applying earlier leaves more room to claim.

Applicants must establish a new company under the Companies Act, 2013. Companies, firms, LLPs and trusts incorporated in India can apply, provided they are setting up new manufacturing capacity for the notified products. You also need PAN, GST and DIN in place.

Part-1 is limited to three product categories: Man-Made Fibre (MMF) apparel, MMF fabrics and technical textiles. Only notified textile products may be manufactured under the scheme, so a project outside these categories will not qualify.

You need to invest at least ₹300 crore, with land and administrative building costs excluded from that figure. In addition, you must achieve a minimum turnover of ₹600 crore in the first performance year. A minimum value addition of 60% applies, or 30% for processing.

No. This is a subsidy-style incentive: the Ministry of Textiles pays out a percentage of your incremental turnover in cash, and the scheme does not involve the government acquiring a stake in your business. The payout is routed straight to your registered bank account through the Public Financial Management System (PFMS).

PAN, GST and DIN are mandatory. Along with the online application form, you will typically upload incorporation documents, financial statements, a detailed project report and proof of investment, plus any prescribed undertakings. An application fee of ₹50,000 must be paid online to complete the submission.

Incentives are available for a maximum of 5 consecutive performance years. From Year 2 onward you must show at least 25% incremental turnover over the previous year, and the incentive is capped at 35% growth on incremental turnover. You must also keep meeting the minimum threshold investment and turnover targets.

Applications are entirely online. Visit the official Ministry of Textiles PLI portal, fill in the application form with your company details, investment plans and manufacturing capabilities, upload the supporting documents and undertakings, and pay the ₹50,000 fee. You will then receive an acknowledgement along with a unique Application ID. If the Ministry or the Project Management Agency raises queries, you must respond within the stipulated time frame.

Claims are filed online once a year and must include proof of incremental turnover and compliance with scheme conditions. The PMA verifies and approves the claim, processing it within 45 days, and funds are disbursed within 15 days of approval directly to your registered bank account via PFMS.

A formal Letter of Approval confirms your selection. From there you must commence manufacturing of the notified products and work toward the investment and turnover targets you committed to. You then submit annual incentive claims online, which are verified and approved before payment is released.

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles, though having it can strengthen your application and unlock other benefits.

PLI Scheme for Textiles Part-1 — 15% Incentive for MMF & Technical Textiles is offered by Ministry of Textiles, a government body. It is provided as non-dilutive funding.