PM Mitra Parks to attract Rs 700 billion investment in textiles
Each park is expected to attract an investment of approximately Rs 100 billion, benefiting the local economy and the textile sector.
The Centre has approved the establishment of seven PM Mega Integrated Textile Region and Apparel (PM MITRA) Parks across greenfield and brownfield sites, featuring world-class infrastructure including plug-and-play facilities. The initiative has an allocation of Rs 44.45 billion over a seven-year period, up to 2027-28, as was communicated to Parliament on Friday. Minister of State for Textiles, Pabitra Margherita, informed the Rajya Sabha that the government has selected seven sites for these parks: Virudhunagar in Tamil Nadu, Warangal in Telangana, Navsari in Gujarat, Kalaburagi in Karnataka, Dhar in Madhya Pradesh, Lucknow in Uttar Pradesh, and Amravati in Maharashtra. He added that once completed, each park is expected to attract an investment of approximately Rs 100 billion, benefiting the local economy and the textile sector.
The minister also mentioned that Special Purpose Vehicles (SPVs) have been established for the five greenfield sites in Gujarat, Tamil Nadu, Karnataka, Madhya Pradesh, and Uttar Pradesh. For the brownfield sites in Maharashtra and Telangana, existing implementation arrangements have been maintained according to the guidelines.
Under the PM MITRA Park Scheme, there is a provision for Development Capital Support (DCS) for the creation of core infrastructure, covering 30 per cent of the project cost, with a maximum support of Rs 5 billion for greenfield parks and Rs 2 billion for brownfield parks from the Centre. Additionally, Competitive Incentive Support is available for individual units, up to a maximum of Rs 3 billion per park, subject to scheme guidelines, to encourage early setup of manufacturing units in the PM MITRA Parks.
The Union Ministry of Textiles is responsible for overseeing the execution of these projects. For each park, a special purpose vehicle (SPV), jointly owned by the Centre and the state governments, is being established to manage the implementation of the project. The Indian textiles market is estimated to be valued at Rs 12 trillion.
