Lok Sabha Question No. 1291 (UNSTARRED), answered on 2022-02-09
Subject: Setting up of Textile Parks
Ministry: TEXTILES
Asked by: Dhal Singh Bisen

## SETTING UP OF TEXTILE PARKS

## 1291. DR. DHAL SINGH BISEN:

Will the Minister of TEXTILES वस्त्र मंत्री be pleased to state :

(a) the details of norms for setting up a textile park in the country;

(b)  the  details  of  the  land  required  to  set  up  a  textile  park  along  with  the  total  cost  of  construction, including the ratio of Union-State contribution therein;

(c)  whether  there  is  any  plan  to  set  up  a  textile  park  near  the  express  way  of  National  Highway  44 passing through Seoni district under Parliamentary constituency of Balaghat; and

(d) if so, the details thereof?

## उत्तर

## ANSWER

## वस्त्र राज् य मंत्री ( श्रीमती दर्शना जरदोर् )

## THE MINISTER OF STATE FOR TEXTILES (SMT. DARSHANA JARDOSH)

(a) to (d): With an objective to provide financial assistance to a group of entrepreneurs to establish state-of-the-art  infrastructure  facilities  in  a  cluster  for  setting  up  their  textile  units,  confirming  to international environmental and social standards and thereby mobilize private investment in the textile sector  and  generate  fresh  employment opportunities, the government has been implementing Scheme for Industrial parks (SITP) since 2005.

For each park, there is a Special Purpose Vehicle (SPV) formed by the representatives of local industry, financial  institutions,  State  industrial  and  infrastructural  corporations  and  other  agencies  of  State  and Central  Governments.    The  SPV  is  registered  under  the  Companies  Act.    The  project  cost  covers common  infrastructure  and  buildings  for  production/  support  activities  (including  textile  machinery, textiles engineering, accessories, packaging) depending on the need of textile park.

The total financial support by GoI is limited to 40% of the project cost subject to a maximum of Rs.40 crores.  However, support will be provided @90% of the project cost subject to a ceiling of Rs.40 crores for first two projects (each) in the States of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, Sikkim, Himachal Pradesh, Uttarakhand and UT of Laddakh and UT of Jammu & Kashmir.

Recently, the Government has approved setting up of 7 (Seven) PM Mega Integrated Textile Region and Apparel (PM MITRA) Parks in Greenfield/Brownfield sites to develop world class infrastructure including  plug  and  play  facility  with  an  outlay  of  Rs.4445  Crore  for  a  period  of  seven  years  upto 2027-28. The PM MITRA Parks Scheme shall be implemented on pan-India basis and is intended for holistic development of the textile sector. The   willing state governments having ready availability of contiguous and encumbrance-free land parcel of 1000+ acres are eligible to apply under the Scheme. It is  envisaged  to  be  on  Public  Private  Partnership  (PPP)  mode.  There  is  a  provision  of  Development Capital Support (DCS) @30% of the project cost with a maximum support of Rs.500 Cr and Rs.200 Cr per park for Greenfield and Brownfield  PM  MITRA  Park,  respectively  for  creation  of core Infrastructure.   Chief Secretaries of all State Governments have been requested to send proposals for setting up PM MITRA Parks in their respective states by 15.3.2022.

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