New Delhi [India], June 27 (ANI): Shares of Nahar Spinning have hit the 5 per cent upper circuit on Monday after reports of yet another possibility of production-linked incentive by the Centre for the textile sector.

At 11.19 a.m, the shares of the company traded at Rs 305. Since the start of the year 2022, they, however, declined around 40 per cent on a cumulative basis.

Incorporated in 1981, the company manufactures and exports woollen and cotton hosiery knitwears and woollen textiles.

Addressing the SIMA Texfair 2022 in Coimbatore on Saturday, Union Minister Piyush Goyal said that the government is mulling over coming up with one more production-linked incentive (PLI) scheme for the textile sector soon.

"The textiles sector also has PLI scheme in which a large amount of investment is coming up all across the country including in Tamil Nadu. We are coming up with one more PLI scheme in Textiles Sector," he said.

"We will create crores of jobs in Textiles Sector so that our compatriots get a better quality of life and more prosperity and our farmers get a higher price for wonderful cotton that they are producing," Goyal added at the event.

In its first leg, the government had approved the production-linked incentive (PLI) scheme for textiles products -- namely MMF Apparel, MMF Fabrics, and Products of Technical Textiles -- for enhancing India's manufacturing capabilities and enhancing exports with an approved financial outlay of Rs 10,683 crore over a five-year period.

Nahar Spinning is a multibagger stock as it had accumulated 150 per cent returns for its investors over the past 5 years. (ANI)