Union Cabinet has approved Production-linked Incentive (PLI) Scheme for Specialty Steel with incentives of Rs. 6,322 crore. This will be provided over a period of five years.
Briefing reporters in New Delhi after the cabinet meeting, Information and Broadcasting Minister Anurag Thakur said, this scheme will boost production of high grade specialty steel in the country.
The scheme will cover coated or plated steel products, high strength or wear resistant steel, specialty rails, alloy steel products, steel wires and electrical steel.
Mr Thakur said, any company registered in India and engaged in manufacturing of the identified specialty steel grades is eligible to participate in this scheme.
The decision will boost exports and minimise dependence on imports for high end steel.
This will also bring in investment of approximately 40 thousand crore rupees and has a potential of generating over five lakh 25 thousand jobs.
The scheme will incentivize steel sector to invest in technological capability building to contribute to global steel value chain.
The Scheme proposes to incentivize eligible manufacturers by paying between 4 percent to 12 percent incentive on incremental production.