Central GovernmentVerified

Production Linked Incentive (PLI) Scheme for Pharmaceuticals

Ministry: Ministry Of Chemicals And Fertilizers

The scheme provides financial incentives on the incremental sales (over Base Year) of pharmaceutical goods and in-vitro diagnostic medical devices to selected applicants based on pre-defined selection criteria. The applicant must be a manufacturer of pharmaceutical goods.

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About This Scheme

The scheme "Production Linked Incentive (PLI) Scheme for Pharmaceuticals" was launched by the Ministry of Chemicals and Fertilizers, Department of Pharmaceuticals. The scheme aims to enhance India’s manufacturing capabilities by increasing investment and production in the sector and contributing to product diversification to high-value goods in the pharmaceutical sector. The scheme provides financial incentives on the incremental sales (over Base Year) of pharmaceutical goods and in-vitro diagnostic medical devices to selected applicants based on pre-defined selection criteria. The scheme is implemented by the Small Industries Development Bank of India. The applications for this scheme are accepted online through the dedicated Project Management Agency portal.

Benefits

₹15000.0 Cr

The scheme has a total financial outlay of ₹1,50,00,00,00,000/-.

The incentive is provided on the net incremental sales of eligible products over a period of 6 years (Financial Year 2022-23 to Financial Year 2027-28).

The rate of incentive for Category 1 and Category 2 products is 10% for the first four years (Financial Year 2022-23 to 2025-26), 8% for the fifth year (Financial Year 2026-27), and 6% for the sixth year (Financial Year 2027-28).

The rate of incentive for Category 3 products is 5% for the first four years (Financial Year 2022-23 to 2025-26), 4% for the fifth year (Financial Year 2026-27), and 3% for the sixth year (Financial Year 2027-28).

₹11000.0 Cr

The incentive allocation ceiling is ₹1,10,00,00,00,000/- for Group A, ₹22,50,00,00,000/- for Group B, and ₹17,50,00,00,000/- for Group C.

₹1000.0 Cr

The maximum incentive per applicant is capped at ₹10,00,00,00,000/- for Group A, ₹2,50,00,00,000/- for Group B, and ₹50,00,00,000/- for Group C.

Applicants must submit a claim for disbursement of incentive online on an annual basis within one month of the closure of the financial year.

75% of the claim amount is released immediately upon order, and the remaining 25% is released after the submission of final audited accounts.

Selected applicants must furnish a self-certified quarterly review report within 30 days from the end of each quarter.

Required Documents

✦
Audited Financial Statements
✦
Cost Accountant Certificate (For Production Cost Certification)
✦
Bank Guarantee (Upon Selection)
✦
Undertaking (Upon Selection)
✦
Product Registration Documents
✦
Self-Certified Quarterly Review Report

✦ Required ◦ Optional

How to Apply

OOnline

Quick Info

Level: Central Government
Max benefit: ₹15000.0 Cr