Home Doll industry Government considers LIP for furniture sector

Government considers LIP for furniture sector

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NEW DELHI : The government is considering a production-linked incentive (PLI) program for certain types of furniture to boost domestic manufacturing and exports and create jobs in the sector, an official said.

The proposal is at the discussion stage, the official added.

The government has already rolled out the program with an expenditure of around 2,000 billion for no less than 14 sectors, including automotive and automotive components, household appliances, pharmaceuticals, textiles, advanced chemical cells and special steel. The goal of the program is to make domestic manufacturing globally competitive and create global manufacturing champions. Discussions are underway for the PLI program for molded furniture and toys, the official said.

The toy industry has called for an extension of the scheme for the sector, as it would promote local manufacturing and create jobs.

Manu Gupta, promoter of Playgro Toys India, said government initiatives were helping the industry, but a national toys policy and PLI scheme would further support the growth of the sector. Speaking of the furniture sector, Chairman of the Trade Promotion Council of India, Mohit Singla said that there is already established competitiveness in the molded furniture sector and the PLI program would be a thoughtful step in that direction.

“As we have industrial parks for the pharmaceutical sector, a similar initiative to develop a furniture cluster will give a boost to the sector,” Singla said. Furniture exports are currently estimated to be around $400 million per year. exports currently stand at 264 billion, and half of the market share is dominated by five countries – China, Germany, Poland, Italy and Vietnam.

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