New Delhi, 06/01/2025: The government launched a new round of the Production-Linked Incentive (PLI) scheme for the steel sector on Monday, called ‘PLI scheme 1.1’. Union Minister of Steel and Heavy Industries H D Kumaraswamy will unveil the initiative in the national capital.
The PLI scheme, first introduced during the COVID-19 lockdown in 2020, was initially launched for three sectors and later expanded to include steel in November 2020. It aims to encourage domestic manufacturing by offering financial incentives, with an investment of Rs 1.97 lakh crore covering 14 sectors.
The government introduced the PLI scheme for specialty steel to boost production and reduce imports. The scheme has already attracted investments of Rs 27,106 crore and created over 14,000 jobs. As of November 2024, investments of Rs 18,300 crore have been made, generating over 8,660 jobs.
Due to positive feedback and the desire for more participation, the government is reintroducing the scheme. Specialty steel is an essential product used in industries like defence, space, power, automobiles, and electrical sectors. The government hopes the new round of the PLI scheme will help meet the demand for this high-grade steel.
The PLI scheme is expected to further boost the steel industry’s growth and increase its global competitiveness. It will also help in reducing the country’s dependency on steel imports. With more investments and job creation, the initiative aims to support the government’s vision of achieving self-reliance in the steel sector.
