According to government officials, Indian Prime Minister Narendra Modi's administration is letting go of a $23 billion program aimed at boosting local manufacturing, which was initiated to attract companies away from China. The program, called the Production-Linked Initiative scheme, will not be expanded beyond the initial 14 sectors, and production deadlines will not be extended, despite some firms’ requests. Around 750 companies, including Foxconn and Reliance Industries, signed up for the scheme, promising cash incentives if they met production targets. The goal was to increase the manufacturing sector's contribution to the economy by 25% by 2025. However, many participating companies struggled to start production, and others faced delays in receiving subsidies. By October 2024, companies had produced goods worth $151.93 billion under the program, representing 37% of the target, with only $1.73 billion in incentives paid out. The government's decision to end the program and delays in subsidy payments are now being reported. The government officials mentioned that Delhi has not abandoned its manufacturing ambitions and is considering alternative plans. Despite criticism, the government defended the program's impact on sectors such as pharmaceuticals and mobile-phone manufacturing, which received the majority of incentives disbursed. Some food companies that applied for subsidies were denied due to reasons like not meeting investment thresholds.