Centre Approves Three Major Schemes to Boost Manufacturing
ECONOMY & POLICY

Centre Approves Three Major Schemes to Boost Manufacturing

The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved three schemes focused on expanding manufacturing, creating employment, supporting exports and strengthening grassroots governance. The initiatives are the Container Manufacturing Promotion Scheme (CMPS), the Khelo India Sports Goods Manufacturing Scheme and the Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY).

The CMPS has been allocated Rs. 100 bn through financial year 2039–40 and aims to increase India’s annual container manufacturing capacity nearly tenfold to 750,000 twenty-foot equivalent units. The scheme will provide interest subvention, operational expenditure support and assistance for testing and certification. Of the allocation, Rs. 8.59 bn will support interest subvention, Rs. 88.91 bn will help manufacturers address production-cost differences and Rs. 1.5 bn will fund testing facilities.

The container initiative is expected to create around 3,000 direct jobs and more than 50,000 indirect employment opportunities. It is also intended to support industries producing specialised steel, corner castings, wooden frames and paints, while reducing import dependence and strengthening supply-chain security.

The Khelo India Sports Goods Manufacturing Scheme has an outlay of Rs. 18.57 bn for 2026–27 to 2033–34. It will promote technology adoption, research, innovation, skills and exports through dedicated Sports Goods Manufacturing Zones, with manufacturers, suppliers, testing laboratories and design centres located in integrated clusters. Anchor investment and turnover-linked support will receive a combined Rs. 11.3 bn, while Centres of Excellence and start-up assistance will support research and product development.

The PM VGSY has been approved with an outlay of Rs. 73.96 bn for 2026–27 to 2030–31, including Rs. 48.69 bn from the Centre and Rs. 25.26 bn from the States. It will cover more than 255,000 Panchayats and traditional local bodies and directly benefit about 3.2 mn elected representatives, officials and other stakeholders. Public awareness exercises could reach at least 10 mn citizens, while annual development plans will be prepared through the eGramSwaraj Portal.

The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved three schemes focused on expanding manufacturing, creating employment, supporting exports and strengthening grassroots governance. The initiatives are the Container Manufacturing Promotion Scheme (CMPS), the Khelo India Sports Goods Manufacturing Scheme and the Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY). The CMPS has been allocated Rs. 100 bn through financial year 2039–40 and aims to increase India’s annual container manufacturing capacity nearly tenfold to 750,000 twenty-foot equivalent units. The scheme will provide interest subvention, operational expenditure support and assistance for testing and certification. Of the allocation, Rs. 8.59 bn will support interest subvention, Rs. 88.91 bn will help manufacturers address production-cost differences and Rs. 1.5 bn will fund testing facilities. The container initiative is expected to create around 3,000 direct jobs and more than 50,000 indirect employment opportunities. It is also intended to support industries producing specialised steel, corner castings, wooden frames and paints, while reducing import dependence and strengthening supply-chain security. The Khelo India Sports Goods Manufacturing Scheme has an outlay of Rs. 18.57 bn for 2026–27 to 2033–34. It will promote technology adoption, research, innovation, skills and exports through dedicated Sports Goods Manufacturing Zones, with manufacturers, suppliers, testing laboratories and design centres located in integrated clusters. Anchor investment and turnover-linked support will receive a combined Rs. 11.3 bn, while Centres of Excellence and start-up assistance will support research and product development. The PM VGSY has been approved with an outlay of Rs. 73.96 bn for 2026–27 to 2030–31, including Rs. 48.69 bn from the Centre and Rs. 25.26 bn from the States. It will cover more than 255,000 Panchayats and traditional local bodies and directly benefit about 3.2 mn elected representatives, officials and other stakeholders. Public awareness exercises could reach at least 10 mn citizens, while annual development plans will be prepared through the eGramSwaraj Portal.

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