The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Khelo India Sports Goods Manufacturing Scheme with a total outlay of Rs 1,856.67 crore for the period 2026 to 2033-34, the government said in an official release. The scheme aims to promote investment, manufacturing, innovation and exports, and to strengthen India's position in the global sports goods sector.
Source: PIB via PM India
Announced in the Union Budget 2026-27, the scheme is aligned with the Khelo Bharat Niti 2025, Make in India and Atmanirbhar Bharat. It will support technology adoption, research and innovation, skill development, quality certification and market development, the release said.
Source: PIB via PM India
At its centre are dedicated Sports Goods Manufacturing Zones (SGMZs), meant to bring manufacturers, suppliers, testing facilities, design and prototyping centres and ancillary firms together in cluster-based ecosystems. The zones will be developed through convergence with existing industrial infrastructure under the BHAVYA Scheme and NICDC industrial parks, according to the government.
Source: PIB via PM India
Briefing the media after the Cabinet meeting, Information and Broadcasting Minister Ashwini Vaishnaw said there are three primary sports goods manufacturing clusters in the country — Meerut in Uttar Pradesh, the Jalandhar-Ludhiana region in Punjab, and Jammu — and that the vast majority of production takes place in the MSME sector, Upstox reported. Up to four integrated zones of more than 300 acres each are envisaged.
Source: Upstox
Under the manufacturing component, anchor investors committing at least Rs 100 crore will be eligible for capital expenditure support of 20 per cent, while manufacturers investing Rs 10 crore or more can receive turnover-linked incentives of up to 15 per cent, according to reports of the scheme's design. The scheme will also support existing clusters by upgrading common facilities in a cost-sharing arrangement with state governments.
Source: Upstox
Sports Minister Mansukh Mandaviya said the scheme will empower the youth of the country through new employment opportunities and drive investments, PTI reported. Prime Minister Modi called the scheme a game changer, citing dedicated manufacturing zones, MSME support, research, innovation and skill development, and export opportunities.
Source: PTI via The Hindu BusinessLine