Mega Textile Parks

What is in the News ?

• On March 17, the government announced that seven mega textile parks under the ₹4,445-crore PM Mega Integrated Textile Regions and Apparel (PM MITRA) scheme will be set up in the first phase. 
• The notification for large-scale textile parks under PM MITRA had been given in October 2021. The scheme which seeks to streamline the textile value chain into one ecosystem, taking in spinning, weaving and dyeing to printing and garment manufacturing, is expected to generate investments worth ₹70,000 crore. 
• It would also lead to the creation of 20 lakh jobs, according to Commerce & Industry and Textiles Minister Piyush Goyal.

PM Mitra Scheme

•  Launched by the Ministry of Textiles in 2021 to streamline the textile value chain (by setting up mega textile parks) into one ecosystem, taking in spinning, weaving and dyeing to printing and garment manufacturing.
• The parks will be established in two stages – The selection of Sites, Development of the Park.
• Proposals to set up such parks are prepared by the State Governments.
• States must have contiguous parcels of a minimum of 1000 acres → transfer land to the Special Purpose Vehicle (SPV with 51% equity shareholding of the State and 49% of Central Government).
• Large-scale production, provision of plug-and-play manufacturing centres, joint implementation Central-State governments, located in States that have inherent strengths, etc.
• Each park will have effluent treatment plants, skill training centres, etc.

PM Mitra Scheme : Advantages

• In line with the 5F vision – Farm to Fibre to Factory to Fashion to Foreign.
• Generating employment (~20 lakh) and augmenting export potential.
• Reduce logistics costs by housing the entire value chain at one location
• Attracting investment worth ₹70,000 crore.
• Enable Economy of Scale.

 Current Challenges in Textile Sector

• The MSME sector controls 80% of the textiles and apparel currently made in India. The MSME sector suffers from “poor economy of scale”.
• Exports have stagnated at around the $40-billion mark (target – $100 billion by 2030).
• Competition from other countries which are more price competitive. 
• Indian textile production also lacks sustainable production methods.

 Other Govt. Schemes for Textiles

• Apparel Park Scheme (2002)
• Scheme for Integrated Textile Parks (2005)

Practice Questions for Prelims

Consider the following statements regarding PM Mitra Scheme :
1.It was launched by Ministry of Commerce and Industry to streamline the entire value chain of textile industry.
2. Mega Textile parks shall be established under this scheme.
3. It shall promote 5F Vision of the Textile sector.
Which of the above statements is/are correct ?
a) 1 and 2 only
b) 2 and 3 only
c) 1 and 3 only
d) 1,2 and 3

Ans. B

Mains Practice Question

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