Karnatraka Budget: PM-MITRA textile park in Kalaburagi gets ₹75-crore allocation

The State government has approved ₹390 crore for developing infrastructure at the proposed Pradhan Mantri Mega Integrated Textile Region and Apparel (PM-MITRA) Mega Textile Park in Kalaburagi district, with an allocation of ₹75 crore made for the financial year 2026-27.

Announcing the measure in the State Budget on Friday, Chief Minister Siddaramaiah said the funds would be used to create essential infrastructure facilities required for establishing the park in the district.

The PM-MITRA park, one of the seven such mega textile parks being developed across the country under a flagship scheme of the Union government, is expected to integrate the entire textile value chain – from fibre production and spinning to processing, garment manufacturing and exports – within a single industrial ecosystem.

The project is widely seen as a major industrial initiative for the Kalyana Karnataka region, which has long lagged behind other parts of the State in industrial development. The region is part of a cotton-growing belt, and the proposed textile park is expected to create strong linkages between agriculture, textile processing and manufacturing.

Kalyana Karnataka Chamber of Commerce and Industry (KKCCI), a body of trade and industries in the region, has repeatedly emphasised the need for early implementation of the project. During pre-Budget consultations with the State government last month, the KKCCI had urged the government to make substantial allocations for infrastructure development related to the PM-MITRA Park.

The chamber had pointed out that though the project had been announced earlier, visible progress on the ground was limited, and timely investment in infrastructure would be crucial to attract textile units and ancillary industries to the region.

Business leaders, however, say the allocation of ₹75 crore for the year is too modest and could slow down the implementation of the project. Speaking to The Hindu, Kalyana Karnataka Chamber of Commerce and Industry (KKCCI) president Sharanabasappa Pappa said he had expected at least ₹200 crore to be allocated this year.

“The government and the KKRDB have already released ₹50 crore each for the project. With the fresh allocation of ₹75 crore, the total funding has increased, but the project is large and requires substantially higher investment to expedite infrastructure development. Without adequate infrastructure, the Union Government cannot move forward with the park. If such small amounts are released every year, the project may take another four to five years to be completed. This is an important initiative that could generate significant direct and indirect employment and accelerate industrialisation in Kalyana Karnataka, which continues to face structural economic disadvantages compared to the southern and coastal districts of the State. The government should have prioritised it,” he said.

Silk park

The Budget has also announced the establishment of a silk park in Kalaburagi as part of a broader initiative to promote sericulture and silk-based industries in the State. Similar parks are proposed in Ramanagara, Sidlaghatta, Haveri, and Tandavapura (Mysuru). However, the Budget speech does not specify any financial allocation for the project during the year.

The announcement comes amid efforts to strengthen Karnataka’s position as the country’s leading silk producer, accounting for about 46% of national production. Officials say the proposed park could eventually support silk processing and value-addition activities in the region and improve market linkages for farmers engaged in sericulture, particularly in parts of North Karnataka.