Consider, the following statements : Statement-I: India accounts for 3

Consider, the following statements :
Statement-I: India accounts for 3.2% of global export of goods.
Statement-II: Many local companies and some foreign companies operating in India have taken advantage of India’s ‘Production-linked Incentive’ scheme.
Which one of the following is correct in respect of the above statements?

Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I
Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I
Statement-I is correct but Statement-II is incorrect
Statement-I is incorrect but Statement-II is correct
This question was previously asked in
UPSC IAS – 2023
Statement-I is incorrect but Statement-II is correct.
India’s share in global goods exports is significantly lower than 3.2%. According to recent WTO data, India’s share in world merchandise exports is around 1.8%. Statement-I is therefore incorrect. Statement-II is correct, as the Production-linked Incentive (PLI) scheme in India has been designed to attract both domestic and foreign investments into key manufacturing sectors and has seen participation from numerous companies operating in India.
The PLI scheme aims to boost domestic manufacturing and reduce import dependence. It offers incentives on increased sales of manufactured goods from target segments. It covers a wide range of sectors including electronics, pharmaceuticals, automobiles, textiles, food products, etc. Both Indian and foreign companies with manufacturing bases in India are eligible for these incentives, and many have indeed availed them to expand production.
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