The government of India’s think tank - Niti Aayog is soon likely to move cabinet proposing an Umbrella policy on Performance Linked Incentive Scheme (PLI) and (PMP) schemes to attract more investments in the country, highly placed sources told CNBCTV18.

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In its proposal, NITI Aayog is likely to push for PLI schemes where later on this umbrella policy can be adopted by the line ministries to work on the sector specific PLI and PMP schemes.

The government is now planning PLI benefits for 9 additional sectors and some special manufacturing parks and benefits for the MSMEs as well through these schemes, sources added.

“The Financial outlay for PLI schemes will be kept at Rs 39,097 crore for current fiscal and with a proposal that the PLI scheme funds can be increased by 10 percent per annum, which will be operational for five years. The allocation has been arrived at noting the savings that the government aims to make on account of shift of MEIS scheme to RoDTEP,” sources added.

The sectors where PLI scheme is likely to get approved include Specialty chemicals, Capital Goods, Technology products, White goods, Networking products, Automobiles & auto components, Textiles, Food Processing and Advanced battery cells.

These 9 sectors are in addition to the 2 sectors – API and medical devices and mobile and electronic equipment where the government has already announced PLI schemes.

Also Read: Government mulling production linked incentives for more sectors

Whereas on the PMP proposal, Niti Aayog plans that the sectors will get duty protection for a limited period, sources added.

The sectors identified for PMP by the government are Furniture and bedding, Plastics, Optical, photographic & Surgical instrument, Toys, games and sports equipment and Low-value electronics.

It would be important to see how soon the proposal makes it to the cabinet for formal approval.