The Indian Texpreneurs Federation (ITF) has suggested changes to the proposed Production Linked Incentive (PLI) 2.0 scheme for the textile sector.

At least 25 companies that manufacture garments or home textiles in the western districts of Tamil Nadu are expected to invest under the scheme when it is implemented. These have to make investments in the Rs 15 crores or Rs 30 crores brackets. Since there are conditions such as the minimum number of machines to be installed, ITF says this cannot be common for the home textiles and garment sectors and that the entrepreneurs should be allowed to choose the machinery.

The average size of apparel units in Tirupur and home textile units in Karur is a Rs 20 crore to Rs 30 crore annual turnover. With several buyers looking at China plus one approach for sourcing, there are huge opportunities for Indian exporters. The units need scale, competitiveness, and specialisation to tap the opportunities.The proposed scheme will benefit small and medium-scale industries that want to scale up and invest in modern machinery.The PLI scheme for the textile sector was announced in September last year and approved 64 applications for production of manmade fiber, apparel, fabrics, and ten product lines in technical textiles.