Government okays setting up seven textile parks with ₹4,445 cr outlay
NEW DELHI: The Union Cabinet on Wednesday approved setting up of seven integrated mega textile parks with a total outlay of ₹4,445 crores, over a span of five years, to boost domestic manufacturing and create an ‘Aatmanirbhar Bharat (self-reliant India)’.
Providing further details, Union minister for commerce and industry Piyush Goyal said the seven Mega Integrated Textile Region and Apparel (PM MITRA) parks will be set up at Greenfield or Brownfield sites located in different states.
“Maximum development capital support (DCS) of Rs 500 crore to all Greenfield PM MITRA and a maximum of Rs 200 crore to Brownfield PM MITRA will be provided for the development of common infrastructure (at 30% of the project cost) and ₹300 crore of competitiveness incentive support (CIS) will also be provided to each PM
MITRA park for early establishment of textiles manufacturing units in PM MITRA. State government support will include the provision of 1,000-acre land for the development of a world-class industrial estate,”
Goyal said. States such as Tamil Nadu, Punjab, Odisha, Andhra Pradesh, Gujarat, Rajasthan, Assam, Karnataka, Madhya Pradesh and Telangana have expressed interest in the scheme.
Under the scheme, the minister said, PM MITRA parks will be developed by a special purpose vehicle which will be owned by the state government and Centre in public private partnership (PPP) mode.
“The master developer will not only develop the industrial park but also maintain it during the concession period. Selection of this master developer will happen based on objective criteria developed jointly by state and central governments,” he said.
“Proposals of state governments having ready availability of contiguous and encumbrancefree
land parcels of 1,000+ acres along with other textiles related facilities & ecosystem are welcome,” he added.
Goyal said PM MITRA is inspired by the 5F vision of Prime Minister Narendra Modi.
“The ‘5F’ Formula encompasses—farm to fibre; fibre to factory; factory to fashion; fashion to foreign. This integrated vision will help to further the growth of the textile sector in the economy. No other competing nation has a complete textile ecosystem like us. India is strong in all five Fs,” the minister said.
The parks will also be eligible for other central and state government schemes as per their eligibility under the guidelines of those schemes, he said.
“This will enhance the competitiveness of the textiles industry, by helping it in achieving economies of scale and will create huge job opportunities for millions of people. Leveraging Economies of Scale, the scheme will help Indian companies to emerge as Global Champions,” he added.
According to an official release, the core infrastructure of PM MITRA parks will include an incubation centre and plug and play facility, developed factory sites, roads, power, water and waste-water system, common processing house and CETP and other related facilitieslike design centre, testing centres, among others. It will also have support infrastructures like workers’ hostels and housing, logistics park, warehousing, medical, training and skill development facilities.