Tamil Nadu, Karnataka among 7 states to get textile parks
Union Textiles Minister Piyush Goyal addresses a press conference at the PM Mitra Mega Textile Park in New Delhi on March 17, 2023. Photo: PIB Via ANI
A year and a half after the PM Mega Integrated Textile Region and Apparel (PM MITRA) scheme was announced, the Center has selected sites in Tamil Nadu, Telangana, Karnataka, Maharashtra, Gujarat, Madhya Pradesh and Uttar Pradesh to set up new textile parks. ,
Listing the seven selected states in a tweet on Friday, Prime Minister Narendra Modi said the parks would “provide state-of-the-art infrastructure for the textile sector, attract crores of investment and create lakhs of jobs”. The scheme was announced in October 2021 and the parks will be set up by 2026-27. The total outlay for the project is ₹4,445 crore, although the initial allocation in the 2023-24 budget is only ₹200 crore.
PM Mitra Mega Textile Park will give a boost to the textile sector in line with the 5F (Farm to Fiber to Factory to Fashion to Fashion to Foreign) vision. In India’ and ‘Make for the World’.
integrated value chain
Textiles Minister Piyush Goyal told reporters that the Center envisages an investment of about Rs 70,000 crore in these parks, which will generate employment for about 20 lakh people. The parks will act as hubs of opportunity to create an integrated textile value chain from spinning, weaving, processing, dyeing and printing to apparel manufacturing at one place.
“The textile industry has been unorganized in the country. This increased wastage and logistics cost, affecting the competitiveness of the country’s textile sector. This cluster based approach, Prime Minister’s approach, will solve many problems of the sector,” said Mr. Goyal. He said that environment clearance would also be simplified under the scheme. Textiles Secretary Rachna Shah said the ministry had selected the locations for the parks in a transparent manner considering 18 proposals from 13 states.
Shri Goyal hoped that the proposed world-class industrial infrastructure would attract state-of-the-art technology and promote FDI and local investment in the sector. According to an official statement, the Ministry of Textiles will monitor the execution of projects in PM Mitra Parks.
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“An SPV [Special Purpose Vehicle] will be set up for each park owned by the central and state government that will oversee the implementation of the project. The Ministry of Textiles will provide financial assistance to the Park SPV in the form of development capital assistance of up to ₹500 crore per park,” the ministry said. Competitive Incentive Support (CIS) of up to ₹300 crore per park to the units in PM Mitra Park will also be expedited. To incentivize the implementation, convergence with other schemes of the Government of India will also be provided to ensure additional incentives to the master developer and investor entities.
Mr Goyal said state governments have offered to provide at least 1,000 acres of land for the parks free of cost and will also facilitate the provision of all utilities such as electricity and water. He said that Rs 200 crore has been allotted as initial investment. “Various elements will be considered to facilitate all approvals. We will encourage the use of renewable energy in these parks in a big way.
The ministry said, “PM Mitra Parks represent a unique model where the central and state governments work together to increase investment, promote innovation, create job opportunities and ultimately make India a global hub for textile manufacturing and exports.” Will work.”