UPSC Prelims Practice Questions — Government approves 96 Companies under round-III of Textile PLI Scheme; ₹12,822 crore investment to boost manufacturing and employment

Q1. With reference to the Production Linked Incentive (PLI) Scheme for Textiles, which of the following are correctly identified as features of the Scheme?

  1. The Ministry of Textiles is the nodal implementing ministry of the Scheme.
  2. It is a Centrally Sponsored Scheme with a 60:40 funding share between the Centre and the States.
  3. The approved financial outlay of the Scheme is ₹10,683 crore over a five-year period.
  4. Incentives are disbursed as a one-time capital subsidy linked to the cost of plant and machinery installed by the applicant.
  • A. 1 and 3 only
  • B. 2 and 4 only
  • C. 1, 2 and 3 only
  • D. 1, 3 and 4

Q2. With reference to the Production Linked Incentive (PLI) Scheme for Textiles, consider the following statements: Which of the statements given above is/are correct?

  1. 1. It is a Central Sector Scheme implemented by the Ministry of Commerce and Industry through DPIIT.
  2. 2. The scheme covers Man-Made Fibre (MMF) Apparel, MMF Fabrics and notified segments of Technical Textiles.
  3. 3. As of June 2026, the cumulative Round-III selection has reached 96 companies with a committed investment of about ₹12,822 crore.
  4. 4. The incentive is disbursed as an upfront capital subsidy on plant and machinery installed by approved units.
  • A. 1 and 4 only
  • B. 2 and 3 only
  • C. 1, 2 and 3
  • D. 2, 3 and 4

Q3. In the latest approval meeting of Round-III of the PLI Scheme for Textiles announced in June 2026, how many new applicants were cleared by the Ministry of Textiles?

  • A. 17
  • B. 22
  • C. 52
  • D. 61

Q4. With reference to the changes introduced by the 2025 amendments to the Production Linked Incentive (PLI) Scheme for Textiles, consider the following statements: 1. The amendments expanded the basket of notified eligible products by adding new HSN codes for MMF Apparel and MMF Fabrics. 2. The amendments brought cotton-based apparel within the eligible product segments of the Scheme for the first time. 3. The amendments reduced the minimum investment threshold for Part-1 applicants from ₹300 crore to ₹150 crore. Which of the statements given above is/are correct?

  1. The amendments expanded the basket of notified eligible products by adding new HSN codes for MMF Apparel and MMF Fabrics.
  2. The amendments brought cotton-based apparel within the eligible product segments of the Scheme for the first time.
  3. The amendments reduced the minimum investment threshold for Part-1 applicants from ₹300 crore to ₹150 crore.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q5. The Production Linked Incentive (PLI) Scheme covering MMF Apparel, MMF Fabrics and notified products of Technical Textiles is implemented exclusively by which one of the following Union Ministries/Departments?

  • A. Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry
  • B. Department of Commerce, Ministry of Commerce and Industry
  • C. Ministry of Micro, Small and Medium Enterprises
  • D. Ministry of Textiles

Q6. In the official 12-segment classification of technical textiles adopted under the National Technical Textiles Mission, the segment 'Mobiltech' refers to textile materials primarily used in:

  • A. Construction of buildings, roads and other civil engineering structures
  • B. Automobiles, railways, ships and aircraft
  • C. Protective clothing for industrial workers and defence personnel
  • D. Sports equipment, footwear and leisure goods

Q7. Which one of the following segments accounts for the largest share of India's domestic technical textiles market?

  • A. Agrotech
  • B. Meditech
  • C. Geotech
  • D. Packtech

Q8. With reference to the Production Linked Incentive (PLI) Scheme umbrella of 14 key sectors notified by the Government of India, consider the following sectors: 1. Semiconductors and Display Fab manufacturing 2. Advanced Chemistry Cell (ACC) Battery Storage 3. Specialty Steel 4. Leather and Footwear Which of the above is/are correctly identified as sectors covered under the PLI Scheme umbrella of 14 sectors?

  1. Semiconductors and Display Fab manufacturing
  2. Advanced Chemistry Cell (ACC) Battery Storage
  3. Specialty Steel
  4. Leather and Footwear
  • A. 1 and 4
  • B. 2 and 3
  • C. 1, 2 and 3
  • D. 2, 3 and 4

Q9. The Production Linked Incentive (PLI) Scheme umbrella, with a financial outlay of ₹1.97 lakh crore for 13 key sectors of manufacturing, was first announced in which one of the following Union Budgets?

  • A. Union Budget 2019-20
  • B. Union Budget 2020-21
  • C. Union Budget 2021-22
  • D. Union Budget 2022-23

Q10. As per the current approvals of the Ministry of Textiles, how many sites have been sanctioned under the PM Mega Integrated Textile Region and Apparel (PM MITRA) Parks Scheme?

  • A. 5
  • B. 7
  • C. 13
  • D. 18

Q11. In the context of India's textile sector classification, the term 'Technical Textiles' most precisely refers to which one of the following?

  • A. Textile materials and products manufactured primarily for their technical performance and functional properties rather than aesthetic or decorative characteristics
  • B. High-thread-count fabrics produced exclusively on computer-numerical-controlled looms for premium apparel exports
  • C. Synthetic fibre yarns blended with natural cotton in a fixed 70:30 ratio for industrial-grade garments
  • D. Handloom and powerloom fabrics certified under the Geographical Indications (GI) Act for export promotion

Q12. The Production Linked Incentive (PLI) Scheme for Textiles, under which Round-III selections were notified, is implemented by which one of the following?

  • A. Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry
  • B. Ministry of Textiles
  • C. Ministry of Micro, Small and Medium Enterprises
  • D. Department of Industrial Policy, NITI Aayog