Textile PLI Scheme Round 4 to Open on November 1; Government Cuts Minimum Turnover Requirement to ₹100 Crore
New Delhi, October 29, 2026: The Ministry of Textiles will reopen the application portal for Round 4 of the Production Linked Incentive (PLI) Scheme for Textiles from November 1 to December 31, 2026, offering fresh opportunities for companies looking to invest in man-made fibre (MMF) apparel, MMF fabrics and technical textiles.
The government has introduced key changes to the scheme to encourage wider industry participation, attract new investments and strengthen India’s domestic textile manufacturing capabilities. The major changes include reducing the minimum turnover requirement under Part 2 of the scheme from ₹200 crore to ₹100 crore and extending the scheme tenure up to the financial year 2033–34 for companies approved under Round 4.
The revised provisions are expected to make the scheme more accessible to mid-sized manufacturers and eligible businesses seeking to expand their production capacity and compete in international markets.
Key Changes in Textile PLI Scheme Round 4
1. Minimum Turnover Requirement Reduced to ₹100 Crore
Under Part 2 of the scheme, the minimum turnover requirement has been reduced from ₹200 crore to ₹100 crore. This change is intended to enable more eligible companies, including mid-sized manufacturing businesses, to participate in the scheme.
The lower threshold could encourage additional investment in MMF-based textile products and technical textiles, segments considered important for diversifying India’s textile manufacturing base and strengthening its export competitiveness.
2. Scheme Tenure Extended Until FY 2033–34
The government has extended the scheme tenure up to FY 2033–34 exclusively for applicants approved under Round 4.
The extended timeline is designed to provide participating companies with a longer investment horizon to establish new manufacturing facilities, expand existing operations and scale up production. It may also help businesses plan capital expenditure and production expansion over a longer period.
3. Existing Participants Can Migrate to Round 4
Companies participating in Rounds 1, 2 and 3 that have not claimed or received any incentives so far will also be eligible to migrate to Round 4, subject to withdrawing their existing applications, as applicable.
This provision gives eligible existing participants another opportunity to enter the revised framework and benefit from the updated conditions.
Application Window: November 1 to December 31, 2026
The online application portal will remain open for two months, from November 1 through December 31, 2026. Interested companies should review the applicable scheme guidelines and eligibility conditions before submitting their applications.
The scheme focuses on promoting manufacturing in MMF apparel, MMF fabrics and technical textiles, areas with potential to support higher-value production, technology adoption and export growth.
Companies considering participation should assess the revised turnover criteria, investment requirements and other applicable conditions before applying.
Textile PLI Scheme Round 3: 96 Companies Selected
The latest developments follow the government’s continued efforts to expand the impact of the PLI Scheme for Textiles.
In June 2026, the Centre approved 96 companies under Round 3. Of these, 22 newly approved applicants are expected to bring additional investments of ₹2,339.14 crore, generate projected turnover of ₹15,561.34 crore from notified textile products and create approximately 36,217 employment opportunities across the textile value chain.
These approvals reflect continued investment interest in India’s textile manufacturing sector and the government’s objective of increasing domestic production capacity.
Total Committed Investment Reaches ₹12,822.67 Crore
With the latest approvals, the 96 companies selected under Round 3 have committed total investments of ₹12,822.67 crore. Their projected cumulative turnover from notified products stands at ₹58,294.18 crore.
The expected employment generation and investment commitments highlight the scheme’s potential to support industrial expansion, strengthen manufacturing capabilities and create opportunities across the textile value chain.
What Round 4 Means for India’s Textile Industry
The reopening of the PLI application portal, combined with the lower turnover threshold and extended tenure, could provide fresh opportunities for eligible textile manufacturers planning expansion or diversification.
For the Indian textile industry, the scheme represents an opportunity to increase domestic manufacturing of MMF apparel, MMF fabrics and technical textiles, attract investment in advanced production capabilities and strengthen participation in global textile supply chains.
The revised eligibility threshold may bring a wider range of manufacturers into consideration, although the actual benefits will depend on individual company eligibility, investment plans and compliance with the scheme’s detailed guidelines.
Conclusion
With applications for Round 4 opening on November 1, 2026, the Ministry of Textiles is offering eligible companies a new opportunity to participate in India’s manufacturing-led textile growth strategy. The reduction in the minimum turnover requirement to ₹100 crore under Part 2 and the extension of the scheme tenure until FY 2033–34 for Round 4 approvals are the key changes businesses should review ahead of the December 31 application deadline.
Note: Companies should consult the Ministry of Textiles’ official notification and applicable scheme guidelines to confirm eligibility, application procedures and detailed conditions.
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