Indian & Gujarat govts sign MoU for ₹4K cr textile park in Navsari

14 Jul '23

3 min read

MoU signing ceremony of Navsari PM Mitra textile park. Pic: Bhupendra Patel/Twitter

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Indian and Gujarat governments have signed a MoU to establish a PM MITRA textile park in Navsari.
The 1,142-acre park, to be developed by the GIDC, will involve an investment of ₹4,000 crore.
The park is part of India's textile sector development plan under PM Modi's 'Five Fs' vision and is expected to generate 2-3 lakh jobs in textile and related sectors.

The Indian government has entered into a memorandum of understanding with the Gujarat government for the establishment of a PM Mega Integrated Textile Regions and Apparel (PM MITRA) textile park in the Navsari district. This textile park will be spread over 462 hectares (1,142 acres) and is expected to attract investments of approximately ₹4,000 crore, with plug and play facilities.

The agreement was signed in the presence of India's textile minister, Piyush Goyal, and Gujarat's chief minister, Bhupendra Patel. The PM MITRA Park will be situated in the Vansi-Borsi village and aims to bolster the region's circular economy.

“This will be a unique industrial model for the country. It will augment investment in the textile sector, generate employment, and transform India into a prominent hub for textile manufacturing and export," Goyal declared. This is one of seven PM MITRA parks that the Indian government plans to set up in Gujarat, Maharashtra, Tamil Nadu, Telangana, Karnataka, Madhya Pradesh, and Uttar Pradesh.

Chief minister Patel asserted that the park is in alignment with Prime Minister Narendra Modi's 'Five Fs' vision for the textile sector - 'Farm to Fibre', 'Fibre to Fabric', 'Fabric to Fashion', and 'Fashion to Foreign'.

"Our government will ensure this park comes up in a short time. Gujarat has been a hub of textile manufacturing. It was earlier known as Manchester of East and now it is known as textile state of India or denim capital of India. Gujarat ranks second in textile exports in the country. Almost 60-70 per cent of the country's denim is made in the state," Patel said.

The Gujarat Industrial Development Corporation (GIDC) will be responsible for the development of the PM MITRA Park in Navsari. The state government has assigned 462 hectares of land to the GIDC for this initiative. The Centre will extend financial support of 30 per cent or ₹500 crore for infrastructure development out of the total estimated expenditure of ₹1,500 crore.

The PM MITRA Park will serve as a platform for world-class industrial infrastructure, attracting large-scale investments, including Foreign Direct Investment (FDI). This project is expected to bring in an estimated investment of ₹4,000 crore and create 2-3 lakh jobs in the textile and related sectors, as per a press release by CMO Gujarat.

The state government is planning to establish a Special Purpose Vehicle (SPV) for the park's construction. The state government will own a 51 per cent stake in the SPV, while the Centre will hold the remaining 49 per cent. The park will also feature common facility centres, including material handling facilities, training and skill development centres, and testing centres.

Fibre2Fashion News Desk (KUL)

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