Sat Jan 11 16:01:59 UTC 2025: ## Tiruppur Textile Hub Anticipates PLI Scheme Boost in 2025 Budget

**TIRUPPUR, INDIA (January 11, 2025)** – Textile manufacturers in Tiruppur are eagerly awaiting the 2025 Union Budget, anticipating a reduction in the turnover threshold for the Production Linked Incentive (PLI) scheme for technical textiles. Currently, the high threshold limits access to only one of 53 registered companies in Tiruppur, with another application pending.

The existing PLI scheme requires a minimum investment of ₹100 crore and a turnover of ₹200 crore (first part) or ₹300 crore investment and ₹400 crore turnover (second part). Industry associations have reportedly been informed by the Ministry of Textiles of plans to lower the turnover requirement to a two-digit slab.

This change is expected to significantly benefit smaller players in the unorganized sector, according to Jaiprakash Palanisamy, a Tiruppur entrepreneur and Start Up India Mentor. He highlighted the phenomenal growth of the technical textiles sector, from $22 billion USD in 2022 to over $40 billion USD in 2024. Lowering the threshold would facilitate larger-scale integration of smaller Tiruppur companies, enabling them to access Ministry support for sourcing and trading. This aligns with the “China Plus One” strategy adopted by global players seeking scalable production in India, where the Textiles Ministry projects 20% growth in the next two years.

T.M. Subramanian, president of the Tiruppur Exporters Association, noted that Tiruppur companies have already diversified into man-made fibers and technical textiles, reaching 10% of production capacity (against a 30% target), with a sustained 5% annual growth expected. The transition has been smooth, aided by automated machinery, as evidenced by Tiruppur’s shift to 90% PPE kit production during the COVID-19 pandemic.

Read More