India Government PLI scheme to extend to leather goods

In order to increase domestic manufacturing and create jobs, the Union Government of India is contemplating to extend its Rs 35,000 crore production-linked incentive scheme to a number of sectors including leather. 

“The proposals are at discussion stage,” an anonymous official told the Press Trust of India. “Inter-ministerial talks are going on to extend PLI benefits to all these different sectors as there has been demand from industry and certain departments.” 

The Minister for Commerce and Industry Piyush Goyal had earlier mentioned that the government was considering extending the PLI scheme. The scheme is designed to make India’s manufacturing sector globally competitive to boost its exports, reduce its trade deficit, and create employment opportunities to improve citizens’ living standards. 

During 2021-22, India exported total leather and leather products of value US$ 4.87 billion, a 32% increase from the previous year. In March 2022, the leather and leather products exports in the country were valued at US$ 471.39 million, a 7% increase from February 2022.