Srinagar, Oct 28: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved three major schemes with a combined outlay of over Rs 19,252 crore to strengthen domestic manufacturing, expand employment and exports, and improve grassroots governance.
The initiatives include the Container Manufacturing Promotion Scheme (CMPS), the Khelo India Sports Goods Manufacturing Scheme and the Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY), aimed at advancing the government’s Make in India, Atmanirbhar Bharat and Viksit Bharat@2047 objectives.
The Container Manufacturing Promotion Scheme has been approved with a budgetary allocation of Rs 10,000 crore up to 2039–40. It aims to increase India’s annual container manufacturing capacity to 7.5 lakh twenty-foot equivalent units (TEUs), nearly ten times the existing level, while developing a globally competitive domestic industry and reducing import dependence.
Union Minister Ashwini Vaishnaw highlighted the strategic importance of shipping containers in international trade, noting that approximately 95 per cent of global container production is concentrated in one country. Developing India as an alternative manufacturing destination would diversify global supply chains and strengthen maritime and logistics infrastructure, he said.
The scheme provides for three components: interest subvention, operational expenditure assistance, and testing and certification support. Of the total allocation, Rs 859 crore will fund a three per cent annual interest subvention on eligible term loans for new manufacturing facilities and expansion of existing units. Another Rs 8,891 crore has been earmarked to support eligible manufacturers in bridging production-cost differences for containers meeting international shipping standards, while Rs 150 crore will support testing and certification facilities.
The initiative is expected to generate around 3,000 direct jobs and more than 50,000 indirect employment opportunities, while supporting associated industries, including specialised steel, corner castings, wooden frames and paints.
The Cabinet also approved the Khelo India Sports Goods Manufacturing Scheme with an outlay of Rs 1,856.67 crore for 2026–27 to 2033–34. Announced in the Union Budget 2026–27, the scheme seeks to establish India as a globally competitive sports goods manufacturing hub through investment promotion, technology adoption, research, innovation, skill development and export expansion.
A key component is the development of dedicated Sports Goods Manufacturing Zones in coordination with existing industrial infrastructure under the BHAVYA Scheme and NICDC Industrial Parks. These clusters will bring manufacturers, suppliers, testing laboratories, design and prototyping centres, and ancillary businesses together to strengthen industrial linkages and improve production efficiency.
The scheme will encourage Indian and international manufacturers, brands and retail chains to establish production facilities through anchor investment and turnover-linked support. These components carry a combined allocation of Rs 1,130 crore and are intended to expand manufacturing capacity, attract private investment, increase domestic value addition and reduce imports.
The initiative will also promote research and development through Centres of Excellence at leading educational and research institutions, collaboration with the Anusandhan National Research Foundation, and support for start-ups under the Startup India initiative.
In another decision, the Cabinet approved the Pradhan Mantri Viksit Gram Swaraj Yojana, a Centrally Sponsored Scheme with a total outlay of Rs 7,395.55 crore for 2026–27 to 2030–31, corresponding to the Sixteenth Finance Commission period. The funding comprises Rs 4,869.48 crore from the Centre and Rs 2,526.07 crore from the States.
The scheme will cover more than 2.55 lakh Panchayats and traditional local bodies across States and Union Territories, directly benefiting approximately 32 lakh elected representatives, Panchayat functionaries and other stakeholders. Public awareness campaigns are expected to reach at least one crore citizens through each coordinated exercise.
The scheme aims to strengthen Gram Panchayats as effective, transparent and participatory institutions of local governance. At least 2.55 lakh comprehensive Gram Panchayat Development Plans will be prepared annually through the eGramSwaraj Portal, integrating local priorities, government programmes and available financial resources.
Implementation will be coordinated by State governments and Union Territory administrations through annual action plans reviewed by a designated Central Empowered Committee. The scheme will also cover traditional rural local governance institutions in areas without Panchayats under Part IX of the Constitution. No permanent posts will be created, although contractual personnel may be engaged where technical assistance is required.
The three schemes collectively target manufacturing expansion, employment generation, export competitiveness and stronger local institutions as part of the government’s broader development agenda.
