Q12 · UPSC current affairs · 26 September 2026 · News · Make in India and Production Linked Incentive Scheme Performance

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Under the Production Linked Incentive (PLI) scheme associated with the Make in India initiative, incentive payments are determined based on:

A Total accumulated fixed assets owned by a company overseas
B Subsidies calculated entirely on total raw material consumption volumes
C Incremental sales achieved over a designated base year threshold
D Fixed government grants given prior to commencing any commercial production

Correct answer: (c) Incremental sales achieved over a designated base year threshold

Explanation

Option C is correct because PLI performance benchmarks rely on incremental sales growth achieved over a base year. Options A, C, and D misrepresent the incentive formula.

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