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Cabinet approves Khelo India Sports Goods Manufacturing Scheme for Building a Globally Competitive Sports Manufacturing Ecosystem
10/28/2026 9:06:07 PM
Early Times Report
NEW DELHI, Oct 28: The Union Cabinet, chaired by the Prime Minister Shri 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 scheme aims to promote investment, manufacturing, innovation and exports, and strengthen India's position in the global sports goods sector.
Announced in the Union Budget 2026-27, the Scheme seeks to strengthen India's sports goods manufacturing base through targeted support for investment, technology adoption, research and innovation, skill development, quality certification and market development. The scheme will support the development of a globally competitive sports goods industry and strengthen India's position in global supply chains.
Aligned with the vision of Khelo Bharat Niti 2025, Make in India and Atmanirbhar Bharat, the Scheme is expected to attract investment, create employment opportunities, strengthen domestic manufacturing capabilities and enhance the global competitiveness of Indian sports goods.
Building Integrated Sports Goods Manufacturing Ecosystems:
The Scheme envisages the development of dedicated Sports Goods Manufacturing Zones (SGMZs) to promote cluster-based manufacturing and create integrated industrial ecosystems through the co-location of manufacturers, suppliers, testing facilities, design and prototyping centres, and ancillary enterprises. These Zones will be developed through convergence with existing industrial infrastructure under the BHAVYA Scheme and NICDC Industrial Parks, enabling efficient manufacturing, stronger industry linkages and enhanced competitiveness across the sports goods value chain.
These zones will support the creation of integrated manufacturing facilities, strengthen industry linkages and improve operational efficiencies. These interventions are expected to facilitate investment, enhance production capacities and support the growth of a robust sports goods manufacturing base in the country.
Attracting Investments and Expanding Domestic Manufacturing:
A key focus of the Scheme is to attract new investments and strengthen domestic manufacturing capacity in the sports goods sector. The Anchor Investment Support component will encourage leading domestic and global manufacturers, brands and retail chains to establish manufacturing facilities within designated Sports Goods Manufacturing Zones and foster the development of robust supplier and ancillary ecosystems. Complementing this, the Turnover Linked Support component will incentivise higher production, capacity expansion and sustained manufacturing growth.
Together, these interventions, backed by a combined outlay of Rs.1,130 crore, are expected to strengthen domestic manufacturing, reduce import dependence, enhance domestic value addition, catalyse significant private investment, generate employment opportunities across the value chain, and improve India's competitiveness in global markets.
Strengthening MSMEs and Existing Manufacturing Clusters:
Recognising the important role of micro, small and medium enterprises (MSMEs) in the sports goods sector, the Scheme places emphasis on strengthening existing manufacturing clusters and supporting the growth of smaller enterprises.
Assistance will be provided for the upgradation of existing sports goods manufacturing clusters, including the development of common facilities and shared infrastructure.
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