and enhancing export capabilities. Steel is a strategically important industry and India is the world's second largest steel producer in the world. It is a net exporter of finished steel and has the potential to become a champion in certain grades of steel. INR 6,322 crore PLI scheme in special steel will help in enhancing manufacturing capabilities for value added steel leading to increase in total exports.
Steel Sector Product Lines
Coated Steel
High Strength Steel
Steel Rails
Ally Steel Bars & Rods
As per media reports, apart from attracting foreign investments and technology for manufacture of special steels in India through the incentive scheme, the scheme will also be sharply focused on facilitating growth of local manufacture of the highly import dependant cold rolled grain oriented grade steel used by the electrical sector. Of the total incentives of USD 855 million earmarked for the steel sector over a five-year period, as much as USD 77 million is aimed to be offered to steel producers expanding or diversifying into production of CRGO grade steel
The Indian steel industry has welcomed inclusion of specialty steel in the list of sectors that can avail of the production linked incentive scheme.
Incentive Cost to Government over 5 Years (in INR crore)
Sectors Implementer Outlay
Automobiles and Auto Components Department of Heavy Industries 57,042
Advance Chemistry Cell Battery NITI Aayog and Department of Heavy Industries 18,100
Pharmaceuticals drugs Department of Pharmaceuticals 15,000
Telecom and Networking Products Department of Telecom 12,195
Food Products Ministry of Food Processing Industries 10,900
Textile Products Ministry of Textiles 10,683
Speciality Steel Ministry of Steel 6,322
White Goods (ACs and LED) Department for Promotion of Industry and Internal Trade 6,238
Electronic/Technology Products Ministry of Electronics and Information Technology 5,000
High Efficiency Solar PV Modules Ministry of New and Renewable Energy 4,500
Total 145,980
The above will be in addition to the already notified PLI schemes in the following sectors
Sectors Implementer Outlay
Mobile Manufacturing and Specified Electronic Components MEITY 40951
Critical Starting Materials, Drug Intermediaries and API Department of Pharmaceuticals 6940
Manufacturing of Medical Devices Department of Pharmaceuticals 3420
Total 51311
