Prime Minister Narendra Modi announced that ‘PM MITRA mega textile parks’ will be set up in Tamil Nadu, Telangana, Karnataka, Maharashtra, Gujarat, Madhya Pradesh and Uttar Pradesh.

PM MITRA (Mega Integrated Textile Region and Apparel) parks will boost the textiles sector in line with the 5F formula (Farm to Fibre to Factory to Fashion to Foreign), he added.

These mega textile parks will be set up with an outlay of Rs 4,445 crore and this would be the biggest ever initiative for infrastructure in this sector.

Scope of the scheme

• The PM MITRA Parks are a major step forward in realising the government’s vision of making India a global hub for textile manufacturing and exports. 

• It is expected that these parks will enhance the competitiveness of the textiles industry by helping it achieve economies of scale as well as attract global players to manufacture in India.

• PM MITRA Parks will help in creating world-class industrial infrastructure that would attract large scale investment including foreign direct investment (FDI) and encourage innovation and job creation within the sector.

• These parks will create 20 lakh direct/indirect jobs and attract an estimated Rs 70,000 crore of domestic and foreign investment.

• PM MITRA Parks represent a unique model where the Centre and state governments will work together to increase investment, promote innovation, create job opportunities and ultimately make India a global hub for textile manufacturing and exports.

• It aims to strengthen the Indian textile industry by way of enabling scale of operations, reduce logistics cost by housing entire value chain at one location, attract investment, generate employment and augment export potential.

• The scheme will develop integrated large scale and modern industrial infrastructure facility for total value-chain of the textile industry for example, spinning, weaving, processing, garmenting, textile manufacturing, processing & printing machinery industry.

• These parks are envisaged to be located at sites which have inherent strengths for textile industry to flourish and have necessary linkages to succeed.

Selection process

These seven sites were chosen out of 18 proposals for PM MITRA parks which were received from 13 states. Eligible states and sites were evaluated using a transparent method based on objective criteria taking into account a variety of factors such as connectivity, existing ecosystem, textile/industry policy, infrastructure, utility services, etc. PM GatiShakti - National Master Plan for Multi-modal Connectivity was also used for validation.

Implementation of the scheme

• The ministry of textiles will oversee the execution of these projects. 

• Special Purpose Vehicle (SPV) owned by Centre and state government will be set up for each park which will oversee the implementation of the project. 

• The ministry will provide financial support in the form of Development Capital Support up to Rs 500 crore per park to the Park SPV. 

• A Competitive Incentive Support (CIS) up to Rs 300 crore per park to the units in PM MITRA Park shall also be provided to incentivise speedy implementation. 

• Convergence with other schemes shall also be facilitated in order to ensure additional incentives to the master developer and investor units.

• State governments will provide contiguous and encumbrance-free land parcel of at least 1,000 acres of land and will also facilitate provision of all utilities, reliable power supply and water availability and waste water disposal system, an effective single window clearance as well as a conducive and stable industrial/textile policy.

• The parks will offer an excellent infrastructure, plug and play facilities as well as training and research facilities for the industry.

• The scheme is envisaged to help India in achieving the United Nations Sustainable Development Goal 9 (“Build resilient infrastructure, promote sustainable industrialization and foster innovation”).

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