PM Mitra Scheme 2022 – 7 Mega Textile Parks Approved by Cabinet

PM Mitra Scheme 2022 – 7 Mega Textile Parks Approved by Cabinet

Cabinet committee approves 7 mega-investment textiles parks in PM Mitra Scheme 2022, check components, benefits, need for PM Mitra Yojana, the main objective is to integrate scattered value chain of textile products, check details here.

The central govt. has allocated Rs. 4,445 crore for the next five years under Pradhan Mantri Mitra Yojana. The scheme aims to establish “holistic integrated textile processing regions” across the country. Mega Integrated Textile Region and Apparel (PM MITRA) parks would integrate the currently scattered value chain of textile products. In this article, we will tell you about the complete details of the PM Mega Investment Textiles Parks Scheme.

PM Mitra Scheme 2022 Details

On 6 October 2021, the cabinet approved seven new mega textile parks under PM Mitra Scheme. The new scheme aims to create world-class infrastructure with plug-and-play facilities that enable major investments in exports. The parks are a part of the government’s “Farm to Fiber to Factory to Fashion to Foreign” push and will generate 1 lakh direct & 2 lakh indirect employment per park.

The government had first proposed the Mega Investment Textiles Parks (MITRA) scheme back in February, to enable the textile industry to become globally competitive and boost employment generation and exports. These Mega Investment Textiles Parks will be set up at greenfield or brownfield sites located in different willing states.

Need for Mega Investment Textiles Parks (MITRA) Scheme

  • Cotton grown in Gujarat & Maharashtra,
  • Spinning in Tamil Nadu
  • Processing in Rajasthan & Gujarat
  • Garmenting in the National Capital Region, Bangalore, Kolkata etc
  • Exports from Mumbai & Kandla

So to integrate the currently scattered value chain of textile products, PM Mitra Scheme has been launched by the central government. Several states such as Tamil Nadu, Punjab, Odisha, Andhra Pradesh, Gujarat, Rajasthan, Assam, Karnataka, Madhya Pradesh & Telangana have expressed interest in PM Mitra Yojana.

Components of PM MITRA Parks

New PM Mitra Scheme will have 2 parts, with the larger component being development support. The government estimates the cost of setting up each park at an estimated Rs. 1700 crore. Out of this, up to 30% of the project cost of Rs, 500 crores in greenfield parks, and up to Rs. 200 crores in brownfield parks will be provided by the government as development capital support.

On the other hand, the first movers who establish anchor plants and hire at least 100 people will also get competitive incentive support from the government. These businesses can secure up to Rs. 10 crores in a year for three years or a total of Rs. 30 crores under this formula. In addition, this will not be part of the existing PLI scheme.

PM Mega Integrated Textile Region and Apparel (MITRA) Park Scheme Benefits

  • Common services centres
  • Design centres
  • Research and development centres
  • Training facilities
  • Medical facilities
  • Housing facilities
  • Inland Container Terminals
  • Logistics warehouses

Source / Reference Link: https://www.moneycontrol.com/news/business/economy/cabinet-approves-seven-new-mega-textile-parks-says-piyush-goyal-7550111.html