Karnataka has emerged as the second-highest performing state in India in terms of investment and employment generation under the Centre’s Production Linked Incentive (PLI) Scheme for Textiles.

According to the Union Ministry of Textiles, six companies in Karnataka have invested ₹1,515.99 crore and generated 5,611 jobs under the scheme as of March 31, 2026. Gujarat secured the top position with investments of ₹1,903.38 crore.

To attract further investments, the Karnataka government plans to launch a special facilitation campaign to encourage eligible textile and apparel manufacturers to participate under the revised PLI guidelines.

The revised framework reduces the minimum turnover requirement under the second category from ₹200 crore to ₹100 crore and extends the scheme period for fourth-round approved companies until FY 2033–34.

The initiative will complement the Karnataka Textile & Apparel Policy 2026–31, which has an outlay of ₹4,000 crore and targets ₹20,000 crore in investments and five lakh employment opportunities over five years.

Eligible manufacturers of man-made fibre (MMF) apparel, MMF fabrics and technical textiles can submit applications from November 1 to December 31, 2026.