The Union government has finalised two new production-linked incentive (PLI) schemes worth over Rs 7,000 crore which will be extended to toys and bicycle components. The segments were identified and recommended by the Steering Committee for Advancing Local Value-Add and Exports (SCALE) in a step that will give impetus to domestic manufacturing of items.

As much as Rs 3,489 crore is expected to be allocated towards the PLI scheme for toys and Rs 3,597 crore for bicycle components. A Cabinet note regarding the same has already been floated.

Once Cabinet approval is received, the applications will be confirmed by the end of the next fiscal year. The finance ministry has already provided Rs 1.97 trillion for PLI schemes, along with Rs 76,000 crore for semi-conductors.

Over Rs 7,000 crore will be allocated from the estimated savings from the first set of schemes, which stands at Rs 11,848 crore.

The incentives to the PLI beneficiaries will be given out in tranches. A total of 14 PLI schemes have been rolled out by the government, so far.