The Centre has shown discrimination against Kakatiya Mega Textile Park (KMTP) in Warangal. Before the Central government introduced the PM Mitra Scheme, the State government launched a mega project named KMTP. The Centre’s indifferent attitude towards Telangana has become a curse for the State. As part of PM Mitra scheme, KMTP has eligibility to be declared as Greenfield Park. As the Centre considered it as Brownfield Park the facility will receive a Central grant of Rs. 200 crore only instead of Rs. 500 crore given to Greenfield Park.
With the latest order issued by the Union Industries Department recognising KMTP as a Brownfield project made it to lose Rs. 300 crore in terms of the Central grant. The Centre has launched the ‘PM Mega Integrated Textile Regions and Apparel’ (PM Mitra) Scheme in 2020-21 with the aim of making India a global hub in apparel manufacturing. At that time, the Centre said that it was brought as part of the Prime Minister’s ‘5F’ vision, ‘Farm to Fiber to Factory to Fashion to Foreign’. It has been decided to develop seven parks by 2027-28 at a cost of Rs. 4,445 crores.
PM Mitra received 18 proposals from 13 states and in March this year Tamil Nadu, Telangana, Gujarat, Karnataka, Madhya Pradesh, Uttar Pradesh and Maharashtra States selected. The Centre has said that these States have been selected taking into consideration aspects of connectivity, local ecosystem, textile/industry policy, infrastructure and utility services.
It has been decided to implement the project by setting up Special Purpose Vehicle (SPV) with the participation of Central and State Governments. In addition to Rs. 500 crore grant by the SPV to a Greenfield Park another Rs. 300 crore will be provided under incentive support to companies setting up industries.
Out of the seven states selected in PM Mitra, except Maharashtra, six states have sent proposals for Greenfield projects only. Although KMTP has Greenfield eligibility as per the Central guidelines, the Centre has once again discriminated against Telangana by including it in the Brownfield list. The Centre’s attitude of saying that only the parks developed under the supervision of the SPV to be set up by the Centre will be included in the list of Greenfield Parks is being criticised.