In a notable push to support India’s manufacturing sector, AAP MP Vikramjit Singh Sahney has urged Prime Minister Narendra Modi to extend the Production-Linked Incentive (PLI) scheme to the leather industry. This call aims to bolster the sector’s quality, innovation, and global competitiveness, addressing the various challenges it currently faces.
The leather industry in India is a significant contributor to the economy, with numerous manufacturers depending on it for their livelihoods. Despite its potential, the industry grapples with several obstacles that hinder its growth and global market presence. In his letter to PM Modi, Sahney emphasized the necessity of extending PLI benefits to the leather sector, highlighting how these incentives could provide much-needed support for quality enhancement and innovation.
One of the primary challenges facing the leather industry is the lack of incentives for innovation and quality improvement. Without adequate support, domestic manufacturers struggle to compete effectively in the global market, where quality standards are continually rising. Additionally, logistical issues such as high transportation costs and import duties in key markets further impede the industry’s competitiveness.
The PLI scheme, introduced in 2021, aims to boost manufacturing in India by providing financial incentives to companies based on their incremental sales. Initially covering 14 sectors, including telecommunications, white goods, and textiles, the scheme has shown promising results in driving growth and innovation.
The call by Vikramjit Singh Sahney to extend the PLI scheme to the leather industry underscores the need for targeted incentives to drive growth and innovation. By addressing the current challenges and providing necessary support, the government can ensure that the Indian leather industry not only survives but thrives in the competitive global market. This initiative has the potential to drive substantial economic growth, support sustainable practices, and position India as a leading player in the leather industry.
