Why in news? The Centre has selected sites in Karnataka, Tamil Nadu, Telangana, Gujarat, Maharashtra, Madhya Pradesh, and Uttar Pradesh to set up new textile parks, a year and a half after the PM Mega Integrated Textile Regions and Apparel (PM MITRA) scheme was announced.
- The parks will function as centres of opportunity to create an integrated textiles value chain from spinning, weaving, processing, dyeing and printing to garment manufacturing all at one location.
- The proposed world-class industrial infrastructure would attract cutting edge technology and boost foreign direct investment and local investment in the sector.
- The Textiles Ministry will oversee/ implementing agency for execution of projects in the PM MITRA parks
- It is envisaged to help India in achieving the United Nations Sustainable Development Goal 9 (“Build resilient infrastructure, promote sustainable industrialization and foster innovation”).
- PM MITRA is inspired by the 5F vision that encompasses – Farm to fibre, fibre to factory, factory to fashion, fashion to foreign.
- 7 PM Mega Integrated Textile Region and Apparel (PM MITRA) Parks will be setup at Greenfield / Brownfield sites located in different willing States.
How funding are done ?
- For a Greenfield PM MITRA park, Development Capital Support will be 30% of the Project Cost, with a cap of Rs500 Cr.
- For Brownfield sites, after assessment, Development Capital Support @30% of project cost of balance infrastructure and other support facilities to be developed and restricted to a limit of 200 Crore.
How sites are selected and developed ?
- Sites for PM MITRA Parks will be selected by a Challenge Method based on objective criteria
- An SPV [Special Purpose Vehicle] owned by Centre and State Government will be set up for each park which will oversee the implementation of the project.
- 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.
- The Ministry of Textiles will provide financial support in the form of Development Capital Support up to 500 crore per park to the Park SPV