Synopsis: Government clears 22 more companies under textiles PLI Round-III, pushing total approvals to 96 with over ₹12,800 crore in committed investments.
India’s textile manufacturing ambitions received another push as the government expanded its production-linked incentive programme, adding fresh players to a scheme designed to build global-scale capacity in man-made fibres and technical textiles – segments seen as critical to capturing a larger share of world trade.
India’s Textile PLI Scheme Crosses 96 Approvals As Round-III Adds 22 New Companies
The government’s flagship textile manufacturing incentive programme has crossed a new milestone, with 22 fresh companies receiving approval under the third round of the Production Linked Incentive Scheme for Textiles. The latest additions take the total number of approved firms under Round-III alone to 96, reflecting steady traction for a scheme that targets segments where India has historically punched below its weight.
The 22 newly cleared companies are projected to invest ₹2,339.14 crore and clock a combined turnover of ₹15,561.34 crore in notified products. The Ministry of Textiles said these firms are also expected to generate 36,217 jobs across the textile value chain – a number that underscores the labour-intensive nature of the sectors being targeted.
Cumulatively, Round-III now carries a committed investment of ₹12,822.67 crore, with a total projected turnover of ₹58,294.18 crore from all approved applicants. All three categories prioritised under the scheme – MMF apparel, MMF fabrics, and technical textiles – are represented in the latest approvals, areas where domestic manufacturers are looking to move up the value chain and reduce dependence on imports.
The build-up to this batch of approvals has been gradual. The first two rounds together brought in 74 companies, while Round-III has been adding firms in tranches – 17 were approved as recently as November last year, carrying investment commitments of ₹2,374 crore. The latest 22 represent a continuation of that momentum.
Notably, the scheme itself underwent a significant overhaul in October 2025. Amendments notified by the government expanded the list of eligible products, scrapped the earlier requirement of incorporating a new entity, slashed the minimum investment threshold by half, and eased the incremental turnover criteria. The changes were widely seen as a course correction to draw in mid-sized manufacturers who had found the original conditions too restrictive.
Launched in September 2021 with a total outlay of ₹10,683 crore, the PLI Scheme for Textiles was conceived to address a structural gap – India’s relatively small footprint in man-made fibre products and technical textiles despite being one of the world’s largest textile producers. The programme ties incentives to actual production and investment, pushing companies to build capacity rather than simply claim benefits.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
