India: PM MITRA push strengthens integrated textile manufacturing ambitions

• Warangal textile park expected to accelerate investments and job creation
• Integrated ‘farm-to-fashion’ model aims to improve supply chain competitiveness

India’s textile sector received a fresh policy boost after Prime Minister Narendra Modi inaugurated the PM MITRA-linked textile infrastructure initiative in Warangal, Telangana, reinforcing the government’s strategy to build integrated manufacturing ecosystems and strengthen India’s position in global textile supply chains.

The Warangal textile ecosystem, anchored around the Kakatiya Mega Textile Park, is designed to operate as a fully integrated “farm-to-fashion” hub covering spinning, weaving, processing, and garmenting operations. The project is expected to improve logistics efficiency, reduce supply chain fragmentation, and attract fresh investments into downstream textile manufacturing.

Investment momentum gathers pace

The PM MITRA scheme, launched with a central outlay of around INR 4,445 crore, targets the development of seven mega textile parks across India and is expected to attract investments of nearly INR 27,000 crore over the medium term. Industry participants said integrated parks could help reduce operational costs and improve scale efficiencies at a time when global buyers are increasingly diversifying sourcing beyond China.

Market participants noted that Telangana’s proximity to cotton-producing regions may support raw material availability for spinning and textile units, while integrated infrastructure could improve turnaround time for exporters. “Large integrated parks help manufacturers optimise logistics, utilities, and labour availability, which are becoming critical for export competitiveness,” a south India-based textile trader said.

Export competitiveness in focus

The development comes as India aims to expand its textile and apparel exports amid rising competition from Bangladesh and Vietnam. Industry participants expect policy-backed infrastructure expansion, combined with production-linked incentives and improved logistics, to support long-term capacity additions across spinning, fabric, and apparel segments.

In the near term, market participants will closely track investment announcements, unit commissioning timelines, and export order flows to assess the commercial impact of the PM MITRA initiative on India’s textile value chain.