India extends textile PLI scheme after strong industry response

India’s textile industry has shown strong interest in the Production Linked Incentive (PLI) Scheme for Textiles, with 22 applications received in just 22 days up to August 2025. Driven by this robust response, the government has extended the application window by one month, giving investors time to apply until September 30, 2025.

It is worth mentioning that the recent 50 per cent tariffs imposed by the US failed to discourage the Indian textile industry. While many had feared a slowdown as the US market became less competitive for Indian textiles and apparel, the industry’s enthusiastic response to the PLI scheme has dismissed such concerns.

India has extended the application window for the PLI Scheme for Textiles by one month to September 30, 2025, following strong industry interest.
The Ministry of Textiles received 22 fresh applications within 22 days in August from MMF apparel, fabrics, and technical textiles sectors.
So far, 74 companies with investments worth ₹28,711 crore have been approved under the scheme.

Announcing the extension, the Ministry of Textiles stated that during the recent invitation window in August 2025, it received 22 fresh applications from the man-made fibre (MMF) apparel, MMF fabrics, and technical textiles sectors. The scheme was reopened on August 8, 2025, to invite new applications from potential investors.

“In view of the strong and enthusiastic response received from industry stakeholders, the government has decided to extend the application window for the PLI Scheme for Textiles. The government is providing one more chance for prospective investors to benefit from the Scheme,” the Ministry of Textiles said in a press release.

The Ministry added that the decision to reopen the application window reflects the industry’s appetite for additional investment, which stems from growing market demand and confidence generated through domestic manufacturing under the PLI scheme.

The extended window is being offered under the same terms and conditions as those outlined in the PLI Textiles Scheme notified on September 24, 2021, and its guidelines issued on December 28, 2021, as amended from time to time. Applications can only be submitted until September 30, 2025, via the ministry’s online portal.

So far, 74 companies with committed investments worth ₹28,711 crore have been selected as beneficiaries under the PLI scheme. These investments are expected to strengthen the entire MMF value chain by boosting domestic production of textile products.

Fibre2Fashion News Desk (KUL)