← All questionsGS3 · 2025 · Agriculture ·Production Linked Incentive Scheme
QUESTION 12
GS3
15 marks

Discuss the rationale of the Production Linked Incentive (PLI) scheme. What are its achievements? In what way can the functioning and outcomes of the scheme be improved?

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11 min
250 words

What the examiner wants

Discuss why the PLI scheme was introduced, what it has achieved, and how it can work better.

DiscussExplain the different sides of the issue, use evidence, and finish with a balanced view.

Demand-wise check

  1. 1Rationale: scale up manufacturing, cut imports (especially from China), attract global firms, boost exports and jobs; incentives linked to incremental sales≈65 words
  2. 2Achievements: 14 sectors, ₹1.97 lakh crore outlay; mobile phone exports surge (Apple, Samsung), pharma APIs, food processing; investment and jobs reported≈65 words
  3. 3Weaknesses and improvements: slow disbursal, low domestic value addition in electronics, uneven sector uptake (textiles, specialty steel), MSME exclusion; extend to components, link to value addition and R&D, faster payments, better evaluation≈65 words

Open in about 30 words and close in about 30.

Answer plan

RationaleAchievements with dataShortcomingsImprovementsConclusion

Where marks usually go

  • Only praising mobile phone exports
  • Not suggesting improvements

Draw this

  • Bar chart: mobile phone exports before and after PLI

Value addition

  • DataIndia's smartphone exports crossed about USD 24 billion in 2024–25, led by iPhones.Ministry of Electronics and IT / ICEA
  • DataPLI schemes cover 14 sectors with an outlay of about ₹1.97 lakh crore.DPIIT

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