The government plans to establish seven giant textile parks under the PM giant Integrated Textile Regions and Apparel (PM MITRA) scheme, as part of its ‘Make in India’ initiative. These parks will be built in seven different states, including Tamil Nadu, Telangana, Karnataka, Maharashtra, Gujarat, Madhya Pradesh, and Uttar Pradesh.
“The parks would provide state-of-the-art infrastructure for the textiles sector, attract crores of investment, and create lakhs of jobs,” Prime Minister Narendra Modi said in a tweet.
The plan was unveiled in October 2021, and the parks are scheduled to open in 2026-27. The overall cost of the project is Rs 4,445 crore, with an initial allocation of Rs 200 crore in the 2023-24 Budget.
“PM MITRA mega textile parks will boost the textiles sector in line with 5F (Farm to Fibre to Factory to Fashion to Foreign) vision,” PM Modi tweeted.
The Centre envisages an investment of nearly Rs 70,000 crore into these parks, with employment generation for about 20 lakh people, Union Minister Piyush Goyal said.
Goyal said, “The textile industry has been unorganised in the country. This increased wastage and logistical costs impacted the competitiveness of the country’s textile sector. This cluster-based approach, a vision of the Prime Minister, will solve several problems of the sector”.
The BJP leader also said that environmental clearances would also be eased under the scheme. Textiles Secretary Rachna Shah said that the Ministry had selected the locations for the parks in a transparent manner, having considered 18 proposals from 13 states.
The eligibility of the states and sites was evaluated using a transparent challenge. It was based on objective criteria, taking into account a variety of factors such as connectivity, the existing ecosystem, textiles, industry policy, infrastructure, utility services, etc. PM Gati Shakti- National Master Plan for Multi-modal Connectivity–was also used for validation.
PM MITRA Parks represents a distinctive model in which the Central and State Governments will collaborate to boost investment, foster innovation, create job opportunities, and eventually turn India into a major hub for textile production and exports. Through these parks, an expenditure of almost 70,000 crores of rupees and the creation of 20 lakh jobs are anticipated.
“An SPV [Special Purpose Vehicle] owned by the Centre and State Government will be set up for each park which will oversee the implementation of the project. The Ministry of Textiles will provide financial support in the form of Development Capital Support upto Rs 500 crores per park to the Park SPV,” the Ministry said.
The Ministry added in the statement, “A Competitive Incentive Support (CIS) upto Rs 300 crores per park to the units in PM MITRA Park shall also be provided to incentivise speedy implementation. Convergence with other Government of India schemes shall also be facilitated in order to ensure additional incentives to the Master Developer and investor units”.