UPSC Prelims Practice Questions — 52 New Applications approved under Production Linked Incentive (PLI) Scheme for Textiles

Q1. The Production Linked Incentive (PLI) Scheme for Textiles provides incentives for Man-Made Fibre (MMF) Apparel, MMF Fabrics and how many segments/products of Technical Textiles?

  • A. 5
  • B. 7
  • C. 10
  • D. 12

Q2. With reference to the coverage of the PLI Scheme for Textiles, consider the following statements: 1. The scheme provides incentives for Man-Made Fibre (MMF) Apparel and MMF Fabrics rather than for cotton yarn or handloom fabrics. 2. Unlike India's traditional cotton-centric textile support, the scheme deliberately targets the Man-Made Fibre and Technical Textiles segments. 3. Products of Technical Textiles fall outside the coverage of the scheme. Which of the statements given above is/are correct?

  1. The scheme provides incentives for Man-Made Fibre (MMF) Apparel and MMF Fabrics rather than for cotton yarn or handloom fabrics.
  2. Unlike India's traditional cotton-centric textile support, the scheme deliberately targets the Man-Made Fibre and Technical Textiles segments.
  3. Products of Technical Textiles fall outside the coverage of the scheme.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q3. The Production Linked Incentive (PLI) Scheme for Textiles is administered as the nodal/implementing programme of which one of the following Ministries?

  • A. Ministry of Commerce and Industry
  • B. Ministry of Textiles
  • C. Ministry of Micro, Small and Medium Enterprises
  • D. Ministry of Heavy Industries

Q4. With reference to the outlay of the PLI Scheme for Textiles, consider the following statements: 1. The scheme was approved with a total outlay of Rs.10,683 crore over a five-year period. 2. The outlay of the scheme is met entirely and exclusively by contributions from the beneficiary companies. 3. The outlay of the scheme is smaller than the incentive outlay for the PLI Scheme for Large Scale Electronics Manufacturing. Which of the statements given above is/are correct?

  1. The scheme was approved with a total outlay of Rs.10,683 crore over a five-year period.
  2. The outlay of the scheme is met entirely and exclusively by contributions from the beneficiary companies.
  3. The outlay of the scheme is smaller than the incentive outlay for the PLI Scheme for Large Scale Electronics Manufacturing.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q5. Under the two-part eligibility criteria of the PLI Scheme for Textiles as originally notified, the highest minimum turnover to be achieved is prescribed under which part, and what is that amount?

  • A. Part-1 — Rs.600 crore
  • B. Part-2 — Rs.600 crore
  • C. Part-1 — Rs.200 crore
  • D. Part-2 — Rs.200 crore

Q6. With reference to the 2025 amendments to the PLI Scheme for Textiles, consider the following statements: 1. With effect from 1 August 2025, the minimum investment under Part-1 was reduced from Rs.300 crore to Rs.150 crore. 2. Under the same amendments, the minimum investment under Part-2 was reduced from Rs.100 crore to Rs.50 crore. 3. The amendments raised the minimum incremental turnover requirement from 10% to 25%. Which of the statements given above is/are correct?

  1. With effect from 1 August 2025, the minimum investment under Part-1 was reduced from Rs.300 crore to Rs.150 crore.
  2. Under the same amendments, the minimum investment under Part-2 was reduced from Rs.100 crore to Rs.50 crore.
  3. The amendments raised the minimum incremental turnover requirement from 10% to 25%.
  • A. 1 and 2 only
  • B. 2 and 3 only
  • C. 1 and 3 only
  • D. 1, 2 and 3

Q7. Of the 52 new applicants approved under Round III (April 2026) of the PLI Scheme for Textiles, how many were in the MMF Fabrics segment?

  • A. 10
  • B. 18
  • C. 19
  • D. 5

Q8. Comparing Round III (2026) with Round I of the PLI Scheme for Textiles, consider the following statements: 1. Round III approved 52 new applicants, fewer than the 61 approved under Round I. 2. The committed investment under Round III (Rs.6,708 crore) is lower than the proposed investment of Rs.19,077 crore under Round I. 3. The expected turnover under Round III (Rs.21,186 crore) is higher than the projected turnover under Round I. Which of the statements given above is/are correct?

  1. Round III approved 52 new applicants, fewer than the 61 approved under Round I.
  2. The committed investment under Round III (Rs.6,708 crore) is lower than the proposed investment of Rs.19,077 crore under Round I.
  3. The expected turnover under Round III (Rs.21,186 crore) is higher than the projected turnover under Round I.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q9. Under Round I (2022) of the PLI Scheme for Textiles, how many applicants were approved out of the applications received?

  • A. 52
  • B. 61
  • C. 64
  • D. 67

Q10. Consider the following pairings of a milestone in the evolution of the PLI Scheme for Textiles with its period: 1. September 2021 — Union Cabinet approval of the scheme 2. 2022 — Approval of 61 applicants under Round I 3. August 2025 — Reduction of minimum investment thresholds and reopening of the application portal 4. April 2026 — Extension of the last date for submitting new applications to 31 December 2025 Which of the pairings given above is/are NOT correctly matched?

  1. September 2021 — Union Cabinet approval of the scheme
  2. 2022 — Approval of 61 applicants under Round I
  3. August 2025 — Reduction of minimum investment thresholds and reopening of the application portal
  4. April 2026 — Extension of the last date for submitting new applications to 31 December 2025
  • A. 1 and 3
  • B. 2 only
  • C. 4 only
  • D. 3 and 4

Q11. Among the sectors under the Production Linked Incentive (PLI) schemes, which one of the following has the largest incentive outlay?

  • A. Automobiles and Auto Components
  • B. Large Scale Electronics Manufacturing
  • C. Textiles (MMF and Technical Textiles)
  • D. Advanced Chemistry Cell (ACC) Battery Storage