Khelo India Sports Goods Manufacturing Scheme 2026

Context:

Recently, the Union Cabinet has approved the Khelo India Sports Goods Manufacturing Scheme with a total outlay of ₹1,856.67 crore for 2026–27 to 2033–34. The scheme aims to develop a globally competitive sports goods manufacturing ecosystem in India by promoting investment, innovation, skill development, quality certification and exports. The scheme aligns with the objectives of Make in India, Atmanirbhar Bharat, Khelo Bharat Niti 2025 and the vision of Viksit Bharat@2047.

Background:

• • • India has a substantial domestic market for sports goods, alongside established manufacturing clusters and micro, small and medium enterprises (MSMEs). However, competing globally requires improved product quality, advanced manufacturing technology, research capabilities, internationally recognised certification and stronger export networks.
    • The scheme seeks to address these challenges by moving beyond traditional manufacturing towards an integrated ecosystem encompassing design, research, production, testing, skill development and international marketing.

Key Features and Financial Allocation:

• • • The scheme has two major components: manufacturing incentives and ecosystem development. A combined allocation of ₹1,130 crore is earmarked for Anchor Investment Support and Turnover Linked Support.
    • Anchor investors making investments of at least ₹100 crore may receive capital expenditure support of 20%, while eligible manufacturers investing at least ₹10 crore may receive turnover-linked incentives of up to 15%. An additional ₹105 crore is allocated for obtaining and renewing certifications from International Sports Federations.

Development of Sports Goods Manufacturing Zones:

• • • The scheme envisages dedicated Sports Goods Manufacturing Zones (SGMZs), potentially comprising four integrated zones of over 300 acres each. These zones will bring manufacturers, suppliers, testing laboratories, design centres and ancillary enterprises together.
    • They will be developed through convergence with the BHAVYA Scheme and National Industrial Corridor Development Corporation (NICDC) industrial parks, reducing infrastructure constraints and strengthening supply chains.

Strengthening MSMEs and Existing Clusters:

Micro, Small and Medium Enterprises (MSMEs) account for nearly 90% of sports goods production, according to the PIB backgrounder. Established manufacturing centres such as Jalandhar in Punjab and Meerut in Uttar Pradesh provide an existing industrial base. The scheme proposes upgrading manufacturing clusters, developing common facilities and improving shared infrastructure to enhance productivity and support smaller enterprises.

Research, Innovation and Skill Development:

The scheme promotes Centres of Excellence in premier educational and research institutions for research in sports equipment, material sciences, protective gear and advanced manufacturing. It also encourages research collaboration through the Anusandhan National Research Foundation. Eligible sports start-ups registered with DPIIT may receive grants of up to ₹20 lakh for developing, testing and commercialising innovative products. Skill development will be undertaken in collaboration with the Ministry of Skill Development and Entrepreneurship and industry stakeholders.

Significance:

• • • The scheme can advance Make in India and Atmanirbhar Bharat by increasing domestic value addition, reducing import dependence and attracting private investment. It can generate employment across manufacturing, logistics, design and testing, particularly in MSME clusters.
    • It will also complement Khelo India, Fit India and Khelo Bharat Niti 2025 by supporting access to quality sports equipment and strengthening India's sports ecosystem.

Conclusion:

The Khelo India Sports Goods Manufacturing Scheme seeks to connect sports development with manufacturing-led economic growth. By integrating investment, research, skills, quality assurance and export promotion, it can help India develop a competitive sports goods industry and advance the broader objectives of Atmanirbhar Bharat and Viksit Bharat@2047. Its success will depend on implementation quality, innovation and the ability of Indian manufacturers to compete in international markets.