PM MITRA Scheme: Government Prepares INR 5,567 Crore Detailed Project Reports for Three Greenfield Textile Parks in Lucknow, Kalaburagi, and Navsari

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  • 18th Dec 2025
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The Government of India has prepared detailed project reports valued at ₹5,567 crore to accelerate the development of three major greenfield textile parks under the PM MITRA (Mega Integrated Textile Region and Apparel) Parks scheme. This development marks a significant step in India's ambitious plan to transform its textile manufacturing landscape and establish itself as a global hub for end-to-end textile production. The initiative aims to attract large-scale investments, generate substantial employment, and enhance India's competitiveness in the global textile and apparel market.

Three New Greenfield Parks Under Development

The government has identified three strategic locations for the development of new greenfield textile parks, each designed to leverage regional strengths and contribute to the broader objective of creating integrated textile manufacturing ecosystems across India.

Location State Planned Land Area Development Model
Lucknow Uttar Pradesh 1,000+ acres DBFOT (Design, Build, Finance, Operate, Transfer)
Kalaburagi Karnataka 1,000+ acres DBFOT (Design, Build, Finance, Operate, Transfer)
Navsari Gujarat 1,000+ acres DBFOT (Design, Build, Finance, Operate, Transfer)

Each park will be developed using the DBFOT model, which is designed to attract private master developers who will handle design, construction, financing, operations, and eventual transfer of the facilities. This approach aims to leverage private sector efficiency while maintaining government oversight and policy support.

Understanding the PM MITRA Scheme Framework

PM MITRA represents a flagship central government initiative launched to develop seven world-class textile parks across India. These parks are conceptualized to integrate the entire textile value chain—from raw fiber to finished apparel—within unified industrial zones, offering scale advantages, operational efficiency, and environmental sustainability. The scheme aligns with the government's broader Make in India and manufacturing sector initiatives.

The 5F Vision Framework

The PM MITRA scheme is rooted in the government's '5F Vision' which traces the complete textile production journey: Farm to Fiber to Factory to Fashion to Foreign markets. This integrated approach reflects the transformation from raw materials such as cotton, silk, and jute through manufacturing processes to global export-ready products, creating a comprehensive ecosystem that addresses every stage of textile production.

Comprehensive Overview of All Seven Approved Parks

The PM MITRA scheme encompasses seven textile parks strategically located across key textile-producing states to maximize regional advantages and manufacturing capabilities.

State City/District Regional Advantage
Tamil Nadu Virudhunagar Established textile manufacturing base
Telangana Warangal Cotton production region
Maharashtra Amravati Cotton belt location
Karnataka Kalaburagi Strategic connectivity
Gujarat Navsari Export infrastructure proximity
Uttar Pradesh Lucknow Large labor pool
Madhya Pradesh Indore region Central location advantage

Financial Structure and Government Support

The PM MITRA scheme involves substantial financial commitments from the central government to ensure successful implementation and attract private sector participation. The financial architecture is designed to balance public investment with private sector involvement.

Financial Component Amount
Total Government Outlay (7 years: 2022-2028) ₹4,445 crore
Implementation Support per Park Up to ₹500 crore
Infrastructure Support per Park Up to ₹300 crore
Recent DPR Preparation (3 Greenfield Parks) ₹5,567 crore

Integrated Infrastructure and Facilities

Each PM MITRA park is planned as a comprehensive, plug-and-play, end-to-end textile ecosystem offering integrated facilities that address every aspect of textile production and worker welfare. This approach is consistent with broader trends in industrial real estate development and manufacturing clusters.

Core Production Infrastructure

Parks will feature common infrastructure for spinning, weaving, dyeing, printing, garmenting, and packaging operations, enabling seamless production workflows. Dedicated warehousing and logistics facilities will support efficient material movement and finished goods distribution. Worker housing complexes and skill development centers will address both accommodation needs and workforce training requirements.

Support Services and Sustainability Features

Efficient water management, power supply systems, and waste management infrastructure will ensure operational continuity and environmental compliance. Support services including research and development centers, testing laboratories, and quality assurance facilities will enable innovation and maintain product standards. Environmental sustainability measures and zero-waste compliance systems reflect the scheme's commitment to responsible industrial development, aligning with global sustainability standards in industrial infrastructure.

Expected Benefits and Impact Assessment

The PM MITRA Parks scheme is designed to deliver multiple benefits across economic, social, and industrial dimensions, transforming India's position in global textile markets.

Employment Generation Potential

Each park is projected to generate direct and indirect employment opportunities for up to 3 lakh people, encompassing manufacturing roles, logistics positions, administrative functions, and support services. This employment creation will contribute significantly to regional economic development and skill enhancement in textile-producing states.

Investment Attraction and Industrial Scale

Each park is expected to attract multi-thousand crore investments from domestic and international manufacturers, logistics firms, infrastructure developers, and retail brands. The consolidation of all textile operations from fiber to export-ready apparel at single locations will reduce logistics and transaction costs while enabling better coordination between stakeholders. This integrated approach enhances operational efficiency and competitiveness in India's manufacturing sector.

Export Competitiveness Enhancement

Co-location of production units within integrated parks will significantly reduce delivery times for export orders, enabling Indian manufacturers to compete more effectively with global textile production centers in China, Bangladesh, and Vietnam. The availability of world-class infrastructure and streamlined production processes will position India as a preferred destination for international textile buyers and brands.

Development Approach and Implementation Timeline

The PM MITRA parks are being developed through a structured Public-Private Partnership model that leverages the strengths of both government and private sector participants. Land acquisition and policy support are being provided by state governments, while core funding and incentives come from the central government. Private players are responsible for design, construction, operations, and long-term maintenance under the DBFOT framework.

Parks are expected to become operational in phases over the next 2-5 years, with early-stage projects in Tamil Nadu and Telangana having already commenced groundwork and land development activities. The phased approach allows for learning and adaptation while ensuring that each park meets quality and operational standards before full-scale operations begin.

Strategic Significance for National Objectives

The PM MITRA scheme aligns with multiple national economic and industrial policy objectives, serving as a cornerstone of India's manufacturing transformation strategy.

Make in India and Atmanirbhar Bharat

The initiative strengthens India's domestic production capabilities and reduces reliance on fragmented textile supply chains. By creating integrated manufacturing ecosystems, the scheme supports the broader vision of self-reliant manufacturing and reduced import dependence for textile and apparel products. This approach is consistent with government initiatives to boost domestic manufacturing.

Export Growth and Global Market Share

The scheme aims to significantly increase India's textile and apparel exports by addressing competitive disadvantages related to fragmented production, infrastructure gaps, and longer lead times. Integrated parks with modern facilities enable Indian manufacturers to meet stringent quality standards and delivery timelines demanded by international buyers.

Skill Development Integration

The incorporation of training hubs and upskilling initiatives within park infrastructure ensures that workforce development occurs parallel to industrial expansion. This integrated approach addresses skill gaps while creating employment pathways for local communities, contributing to inclusive economic growth.

Stakeholder Benefits Across the Value Chain

  • Textile manufacturers gain access to large-scale production infrastructure with lower costs and higher efficiency, along with government incentives and ease of doing business
  • Investors can pursue long-term returns from industrial park development and operations, supported by government-backed guarantees and incentives
  • Local communities benefit from employment opportunities in manufacturing, logistics, and services, alongside urbanization and infrastructure development in park regions
  • Exporters and retailers gain faster production cycles and access to global-quality manufacturing hubs that meet international standards
  • Small and medium enterprises can leverage shared infrastructure and facilities that would be prohibitively expensive to develop independently

Competitive Positioning in Global Textile Market

The PM MITRA initiative addresses critical gaps that have historically limited India's ability to capture larger shares of global textile trade. Fragmented production facilities, inadequate infrastructure, and longer lead times have been persistent challenges. The integrated park model directly addresses these limitations by creating efficient, modern manufacturing ecosystems that can compete on quality, cost, and delivery timelines.

Global textile buyers increasingly demand faster turnaround times, consistent quality, and sustainable production practices. PM MITRA parks, with their emphasis on modern infrastructure, environmental compliance, and integrated operations, position India to meet these evolving requirements. The scheme's success could enable India to capture market share from established competitors while attracting new international brands seeking reliable production partners in export-oriented manufacturing sectors.

Key Highlights of the Initiative

  • Government has prepared detailed project reports worth ₹5,567 crore for three greenfield textile parks in Lucknow, Kalaburagi, and Navsari
  • Each new park will be developed on 1,000+ acres using the DBFOT model to attract private master developers
  • Total of seven PM MITRA parks approved across Tamil Nadu, Telangana, Maharashtra, Karnataka, Gujarat, Uttar Pradesh, and Madhya Pradesh
  • Total government outlay of ₹4,445 crore allocated over seven years from 2022 to 2028
  • Each park receives up to ₹500 crore implementation support and ₹300 crore infrastructure support
  • Parks designed as integrated ecosystems covering entire textile value chain from fiber to finished apparel
  • Each park expected to generate employment for up to 3 lakh people directly and indirectly
  • Initiative aligns with Make in India, Atmanirbhar Bharat, and export promotion objectives

Long-term Implications for Indian Textile Industry

The PM MITRA Parks scheme represents a transformative approach to industrial development in India's textile sector. By focusing on scale, integration, and investment-friendly ecosystems, the combined investment of ₹5,567 crore for new greenfield parks and the larger ₹4,445 crore national program positions India to become a leading global destination for textile manufacturing, innovation, and exports.

The success of this initiative could serve as a model for similar integrated industrial development in other manufacturing sectors, demonstrating the effectiveness of comprehensive infrastructure planning combined with public-private partnership execution. As parks become operational over the next few years, their performance will provide valuable insights into the viability of this development model for large-scale industrial corridor projects across India.

Disclaimer: This article is based on information available from government announcements, policy documents, and industry reports. Readers are advised to conduct their own research and consult with qualified industrial real estate professionals, investment advisors, or legal experts before making any investment or business decisions related to PM MITRA parks or textile manufacturing projects. Project timelines, investment figures, development plans, and scheme details mentioned are subject to change based on government policy revisions, implementation progress, and regulatory developments. This article is for informational purposes only and should not be construed as investment, business, legal, or financial advice. Actual employment generation, investment attraction, and operational outcomes may vary from projections based on market conditions, execution quality, and various other factors.


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