The Department of Pharmaceuticals (DoP) on May 04, 2026, issued the Modifications in the guidelines of the Production Linked Incentive (PLI) Scheme for promotion of domestic manufacturing of critical Key Starting Materials (KSMs)/Drug Intermediates and Active Pharmaceutical Ingredients (APIs) in India (commonly referred as “PLI Scheme for Bulk Drugs”).
The following has been amended:
• A new provision has been added under Clause 15.4, allowing applicants who file incentive claims based on management-certified or unaudited financial statements, or before filing annual returns, to receive 80% of the eligible incentive initially. The remaining 20% incentive will be released after submission of audited financial statements, the auditor’s certificate, and reconciliation with annual regulatory returns. Claims for this remaining 20% must be filed within 10 months from the end of the relevant financial year.
• Clause 15.12 has been amended to extend the deadline for reconciliation of sales of eligible products. Earlier, reconciliation documents had to be submitted by 31 December of the following financial year; this has now been extended to 31 January.
• No change has been made to the existing provision requiring applicants to file incentive claims within 9 months from the end of the relevant financial year.
[Notification no. - 31026/16/2020-Policy]
