About

• In 2021, the Government of India approved the establishment of seven Prime Minister Mega Integrated Textile Region and Apparel (PM MITRA) parks to create a world-class infrastructure for the integration of different processes involved in the textile industry.
• The parks will be developed with a total spending of ₹4,445 crore over five years.
• PM MITRA parks were announced in the Union Budget for 2021-22.

Significance

• • PM MITRA would provide an opportunity to develop an integrated textiles value chain at one place, starting with spinning, weaving, processing/dyeing, printing, and garment manufacture.
  • The core infrastructure of PM MITRA parks will include, among other things, an incubation centre and plug-and-play facility, developed factory sites, roads, power, water, and waste-water systems, a typical processing house, a common effluent treatment plant (CETP), and other related facilities such as a design centre and testing centres. Workers’ hostels and accommodation, a logistics park, warehousing, medical, training, and skill development facilities will be available.
  • The parks would be developed by a Special Purpose Vehicle (SPV) owned by the Central and State governments and would get two kinds of support. 
    • Development Capital Support, aimed at helping develop infrastructure, would fund 30% of the project cost with a cap of ₹500 crore for greenfield projects and ₹200 crore for brownfield projects. 
    • A separate Competitiveness Incentive Support would be limited to ₹300 crore per park.

• Note: With greenfield investing, a company will build its own, brand new facilities from the ground up. Brownfield investment happens when a company purchases or leases an existing facility.

• The parks are expected to generate 7 lakh direct jobs and provide indirect jobs to almost 14 lakh people.

Why in News?

• Union Minister of State for Textiles, Darshana Jardosh provided details about the establishment of seven PM MITRA Parks in the Parliament.
• The Minister said the allocated fund will be for a period of seven years upto 2027-28, adding that the scheme will be implemented pan India, and is intended for holistic development of the textile sector.
• She added that the PM MITRA Park will be built through Public Private Partnership mode.

Reference:

1. https://newsonair.gov.in/News?title=Govt-has-approved-setting-up-of-seven-PM-MITRA-Parks-in-greenfield%2fbrownfield-sites%3a-MoS-Darshana-Jardosh&id=434717