11-02-2021 | 13:43 PM
Mega Investment Textiles Parks (MITRA) scheme
Context
The Finance Minister, Nirmala Sitharaman announced during the Union Budget 2021 presentation that the Government has proposed a “Mega Investment Textiles Parks (MITRA) scheme” as part of a plan to double the industry size to USD 300 billion by 2025-26.
Key Highlights
In three years, 7 mega textile parks will be launched as part of the scheme.
The parks will be set up over 1,000 acres of land with world-class infrastructure and plug-and-play facilities.
It will be an addition to the Rs. 10,683-crore Production Linked Incentive Scheme (PLI) for technical textiles and manmade fibre.
Production Linked Incentive Scheme (PLI) is a Central Sector scheme, which was notified in April 2020 for the Large-Scale Electronics Manufacturing.
This was notified with the objective of providing the financial incentives for domestic manufacturing of goods.
The scheme also seeks to attract large investments.
These will have integrated facilities and quick turnaround time for minimizing transportation losses. These are also targeted to have uninterrupted water and power supply, common utilities and research and development labs.
The MITRA scheme aims to enable the textile industry to become globally competitive and boost exports.
The scheme also aims to boost employment generation within the textile sector and also attract large investment.
The scheme will create a level-playing field for domestic manufacturers in the international textiles market.
The MITRA scheme will also pave the way for India to become a global champion of textiles exports across all segments.
Note: Indian textile sector is the 6th largest exporter of textiles and apparel in the world. The industry is also among the top employers in the country providing direct employment to 45 million people and 60 million people in allied industries.
