Boosting India's Plastics Industry: A Call for Incentives

The All-India Plastics Manufacturers' Association seeks government support for the plastics industry in Budget 2025. They request a production-linked incentive scheme, tax reductions, and subsidies to boost India's market share globally. Proposals also include a technical upgradation fund and infrastructure support for MSMEs.

The All-India Plastics Manufacturers' Association (AIPMA) has called on the government to introduce a production-linked incentive scheme for the sector in the upcoming Budget 2025. This push aims to increase India's global market share in plastics.

During a pre-budget consultation with Union Finance Minister Nirmala Sitharaman, AIPMA emphasized the need for reducing GST on plastic waste and recycling machinery to zero, and a lower GST rate of 5% on recycled plastic granules. They also requested a 20% subsidy for recycling equipment purchases.

AIPMA Chairman, Arvind M. Mehta, highlighted that while China's plastic exports are significantly higher than India's, there is potential for India to expand. AIPMA also seeks a technical upgradation fund of Rs 2,500 crore for the sector and 'plug and play' facilities to ease operations for MSMEs.

(With inputs from agencies.)