Top 4 Government Initiatives for the Indian Textile Industry

Top 4 Government Initiatives Boosting the Indian Textile Industry

1. PM MITRA: Pradhan Mantri Mega Integrated Textile Region and Apparel

The PM MITRA scheme is a government initiative dedicated to establishing Mega Integrated Textile Regions and Apparel Parks across India. Its core focus is to drive investment, encourage innovation, and catalyze growth within the textile and apparel industry.

A distinctive feature of PM MITRA Parks is the collaborative effort between the Centre and state governments. Together, they strive to create top-notch industrial infrastructure, fostering sustainable industrialization and innovation.
Inspired by the Hon'ble Prime Minister's 5F vision – "Farm to Fibre to Factory to Fashion to Foreign" the scheme expects a comprehensive approach to the entire textile value chain. The Ministry of Textiles oversees project execution, ensuring alignment with the 5F framework.
Each PM MITRA Park is managed by a Special Purpose Vehicle (SPV) jointly owned by the Centre and State Government. The Ministry of Textiles extends financial support to the Park SPV and its units through development capital and competitive incentive support.
The overarching goal of PM MITRA Parks is to create an integrated textile value chain. The scheme aims to reduce logistics costs and generate significant direct and indirect employment opportunities.
The selection of sites for PM MITRA Parks follows a transparent procedure, with numerous states expressing interest in hosting these transformative industrial hubs.
Aligned with the government's initiatives for free trade agreements, PM MITRA Parks aims to position India as a hard player in the global textile market.
The scheme is strategically designed to contribute to the United Nations Sustainable Development Goal 9 by focusing on resilient infrastructure, sustainable industrialization, and creation.
With a total outlay of Rs. 4,445 crore, PM MITRA Parks are anticipated to be established by 2026–27, marking a crucial milestone in India's textile industry development.

2. Production-Linked Incentive Scheme

The Production-Linked Incentive (PLI) Scheme, a strategic government initiative, aims to support domestic manufacturing and shorten imports across various sectors, focusing on the textile industry. Its primary mechanism involves incentivizing companies based on cumulative sales of domestically manufactured goods.

The textile sector stands to earn greatly from the PLI Scheme, specifically stressing man-made fiber (MMF) apparel, MMF fabrics, and products within the technical textiles domain. The overarching goal is to boost India's manufacturing capacity and support exports.
The PLI Scheme for Textiles is bifurcated into two parts. Part 1 entails a minimum investment of INR 3 billion and a minimum turnover requirement of INR 6 billion. Part 2, on the other hand, involves a minimum investment of INR 1 billion and a minimum turnover prerequisite of INR 2 billion. This dual-part structure caters to diverse industry players.
Sixty-four textile investors have been identified as eligible under the PLI scheme, each set to receive incentives over five years. This strategic selection aims to promote upgraded production capacity among textile companies.
The PLI scheme's core objective is to inspire companies to increase their production capacities, leading to increased work and expanded employment opportunities within the dynamic textile sector.

3. Samarth Initiative

The Samarth initiative, led by the Ministry of Textiles, Government of India, is a key skill development program for the textile sector. It serves as a flagship initiative aimed at enhancing industry skills.

This scheme, both demand-driven and placement-oriented, covers the entire textile value chain, excluding spinning and weaving. Its primary goal was to train 10 lakh individuals skillfully from 2017 to 2020.
With a significant impact on the textiles and garments industry, employing 45 million people, Samarth plays an important role in supporting this labor-intensive sector in India.
Samarth adopts an all-around approach, targeting both the organized and traditional sectors. It includes special requirements for upskilling and re-skilling programs and handling diverse skill development needs.
The scheme is especially dedicated to uplifting women, with over 85% of its beneficiaries being women. This focus on gender inclusivity aligns with broader societal goals.
A remarkable achievement lies in the scheme's organized-sector courses, which boast a placement rate of over 70%. Underscoring its effectiveness in translating training into meaningful employment opportunities.
Implemented through Implementing Partners (IPs), the scheme works with a strategic vision, aiming to create a skilled workforce, improve job creation, and promote the overall growth and competitiveness of the Indian textile industry.
Samarth is operational until March 2024, marking a notable stride towards capacity building and skill development in the textile sector. Its enduring impact extends beyond mere training, contributing to the industry's sustainable growth.

4. National Technical Textiles Mission (NTTM)

Created in 2020, the National Technical Textiles Mission (NTTM) unfolds over four years, focusing on improving technical education, promoting research and innovation, promoting market growth, and simplifying objectives.

Prioritizing technical education at engineering and technology levels, the mission aims to build expertise in technical textiles and their applications.
Dedicated to groundbreaking research on fibers and applications, including geo, agro, medical, sports, and mobile textiles. Additionally, it highlights the development of biodegradable technical textiles and indigenous machinery.
Focused on expanding the global market for Indian technical textiles and handling the domestic market's low penetration rate (5–10%). A key aspect is the promotion of exports to improve India's global market share.
Simplifying mission goals into four components provides a clear and focused approach, aiming for effective implementation and impact.

What are the objectives of the National Technical Textile Mission?

Conducting R&D for fibers like carbon, aramid, nylon, UHMWPE, and their composites.
Applied research in agro, geo, medical, mobile, and sports textiles, including sustainable options.
Enhancing the use of technical textiles in India through skill development.
Integration of technical textiles in flagship missions and strategic sectors..
Creating indigenous machinery and equipment for technical textiles, aligning with "Make in India."
Promoting innovation among young graduates through centers, startups, and ventures.
The NTTM is a strategic initiative that positions India as a key player in technical textiles.

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