Union Government Allocates ₹2,100 Crore for Madhya Pradesh Textile Hub

Synopsis
The Central government has allocated ₹2,100 crore for the PM MITRA Park in Madhya Pradesh, marking a significant investment in the textile sector. This integrated park will cover 2,100 acres and is expected to create 25,000 jobs, showcasing the state's potential for growth and innovation.
Key Takeaways
- ₹2,100 crore approved for PM MITRA Park.
- Integrated textile park spans 2,100 acres.
- Expected to generate 25,000 jobs.
- Construction to be completed in 14 months.
- Located in Bhensola village, Dhar district.
New Delhi/Bhopal, April 23 (NationPress) The Union Government has sanctioned an impressive ₹2,100 crore for the development of PM MITRA Park in Madhya Pradesh.
As per a statement from the Ministry of Textiles shared on X, the government will soon invite applications for land allotment at this park.
This integrated textile park will cover 2,100 acres and is poised to be India’s first of its kind. The blueprint includes various cutting-edge facilities, such as a 20 MLD ZLD (Zero Liquid Discharge) system, a solar power plant, plug-and-play units (Build-to-Suit), and designated worker housing.
Construction is expected to be completed within 14 months, and the government has already received expressions of interest totaling ₹10,000 crore from investors, as reported by the Ministry.
The Chief Minister of Madhya Pradesh, Dr. Mohan Yadav, expressed his appreciation to Prime Minister Narendra Modi for endorsing the project through a repost on X, referring to it as a visionary initiative that will transform the textile industry in Madhya Pradesh and create significant job opportunities.
Officially approved by the Government of India in March 2023, the park will be located in Bhensola village within Badnawar Tehsil, in Dhar district.
This park was showcased during the Global Investors Summit 2025 held in Bhopal earlier this year, a key event highlighting Madhya Pradesh’s innovative capabilities.
Guided by Prime Minister Modi's 5F vision -- Farm to Fibre to Factory to Fashion to Foreign -- the PM MITRA Parks initiative aims to develop seven locations throughout India.
Each site is being established under a special purpose vehicle (SPV) model to draw investment, particularly in the organic cotton sector.
These efforts will promote the establishment of weaving, knitting, and machine manufacturing units in regions like Chhindwara, Bhopal, the Nimar Belt, Burhanpur, and Jabalpur.
During a meeting last June, the Chief Minister urged the quick implementation of this ambitious textile and apparel park project.
The goal is to create 25,000 jobs through 21 dedicated units within the PM Mega Textile Park.
Funding allocations previously committed ₹4,445 crore for similar projects until 2027-28.
The SPV's equity for the MITRA Park will see the Central government contributing 49%, while the Madhya Pradesh government will cover the remaining 51%.
An MoU established between the Ministry of Textiles and the state government on May 21, 2023 confirmed the park's development over 1,563 acres of land managed by Madhya Pradesh Industrial Development Corporation (MPIDC).
Strategically positioned, the park is 110 km from Indore, 85 km from the Pithampur industrial area, and 50 km from both Ratlam and the Delhi-Mumbai Expressway.
Its distance to Hazira port is 452 km, facilitating potential international exports.
As a leading producer of cotton, Madhya Pradesh accounts for 317,000 metric tonnes of premium cotton, making up 24% of the world’s non-GMO organic cotton and 47% of India’s supply. It is also the only source of extra-long staple cotton in the nation.
With its strong infrastructure and ample resources, the park is set to advance India’s textile sector while attracting significant global investment.
Over the years, the state has rapidly progressed in garment manufacturing, with the number of units increasing from 11 in 2003 to 60 large-scale textile factories today, rendering it an appealing destination for investors.