Story 1 of 12 · 29 Oct
GS3 · Industry · Textiles

Uttar Pradesh picks developer for Lucknow’s PM MITRA textile park

In 30 seconds

On 27 October 2026 the U.P. Cabinet chose Ramky Infrastructure Ltd as the master developer of the PM MITRA Mega Textile Park on the Lucknow-Hardoi border. The 1,000-acre park will cost about ₹1,947 crore and is expected to create jobs for around one lakh people. Read it for the PM MITRA scheme, the 5F idea and the DBFOT model of PPP.

Fact File

Approved
27 Oct 2026, U.P. Cabinet
Size and cost
1,000 acres, ₹1,947 crore
Developer
Ramky Infrastructure Ltd
Model
PPP, DBFOT, 50-year concession
Rows of power looms weaving white cloth in a textile unit in Meerut, Uttar Pradesh
In the news

Lucknow’s textile park: what happened?

Today a shirt’s cotton may be spun in one State, woven in another and stitched in a third. Every truck trip adds cost. A PM MITRA park puts the whole journey inside one fence.

  • The U.P. Cabinet, chaired by Chief Minister Yogi Adityanath, approved Ramky Infrastructure Ltd as the preferred bidder (the firm chosen to build the project) on 27 October.
  • Only one bid came in. It was accepted after technical and financial checks in a national tender.
  • The park covers 1,000 acres on the Lucknow-Hardoi border. The estimated cost is ₹1,947 crore.
  • The Centre will pay up to 30% of the project cost, capped at ₹500 crore.
  • It will be run by PM MITRA Park Uttar Pradesh Ltd, a special company (SPV, special purpose vehicle) owned 51% by the State and 49% by the Centre.
  • The State leased the land to this company for 99 years at a token rent of ₹1 per acre a year.
  • Planned inside: ready-made factory sheds, a common boiler, a zero liquid discharge effluent plant (dirty water is cleaned and reused, none is let out), worker hostels especially for women, a skill centre, warehouses and a logistics hub.
Back Story

What is the PM MITRA scheme?

PM MITRA stands for PM Mega Integrated Textile Region and Apparel parks. It was announced in the Union Budget 2021-22 and approved in October 2021.

The plan is seven big parks where every step of cloth-making happens at one site: spinning, weaving, dyeing, printing and stitching. This cuts transport cost and time.

It follows the 5F idea: Farm to Fibre, Fibre to Factory, Factory to Fashion, Fashion to Foreign (exports).

The outlay is ₹4,445 crore for 2021-22 to 2027-28. The seven sites, announced in March 2023, are Virudhunagar (Tamil Nadu), Warangal (Telangana), Navsari (Gujarat), Kalaburagi (Karnataka), Dhar (Madhya Pradesh), Lucknow (U.P.) and Amravati (Maharashtra).

States had to offer at least 1,000 acres of clear, joined-up land. Sites were picked through a challenge method, a competition scored on fixed criteria.

Side by side

The two kinds of central support

PointDevelopment Capital SupportCompetitiveness Incentive Support
Who gets itThe park company, for common infrastructureFactories that set up early in the park
How much30% of project cost; up to ₹500 crore (greenfield), ₹200 crore (brownfield)Up to ₹300 crore per park
WhyMakes the park worth a private builder’s whileHelps new units until they break even
Lucknow caseGreenfield park, cap of ₹500 crorePaid up to 3% of a new unit’s turnover
Rulebook

Which laws and constitutional entries apply?

  • State List, Entry 24: industries are a State subject, except those the Union controls under Union List Entries 7 and 52.
  • Union List, Entry 52: industries Parliament declares to be under Union control in the public interest.
  • Article 43 (Directive Principles): the State shall try to promote cottage industries in rural areas, which fits handloom and weaving clusters.
  • PPP on DBFOT: the private firm Designs, Builds, Finances and Operates the park, then Transfers it back after the concession (here 50 years, including 5 years of building).
Why examiners care

Why does the Lucknow PM MITRA park matter?

AngleWhat to note
JobsTextiles hire many workers, including women; about one lakh direct and indirect jobs are expected.
ExportsOne-site production lowers cost, helping India compete with Bangladesh and Vietnam.
U.P.’s baseLinks to weaving clusters such as Lucknow chikankari, Varanasi silk and Meerut power looms.
Fault Lines

What are the problems with the Lucknow PM MITRA park?

  • Only one bid came in, so there was no price competition.
  • Roads, power and water up to the gate are the State’s job; any delay there can push factories away.
  • Dyeing uses a lot of water and chemicals; the effluent plant must actually work.
  • Small weavers may not afford space in a big modern park.
Road Ahead

What should be done next on the Lucknow PM MITRA park?

  • Finish roads, power and water to the park gate before units arrive.
  • Fix clear deadlines for each building phase.
  • Reserve sheds and training for local weavers and women workers.
  • Publish water-reuse and pollution data from the effluent plant.
Exam Radar

What can Prelims ask on the Lucknow PM MITRA park?

  • PM MITRA: 7 parks, ₹4,445 crore, 2021-22 to 2027-28; announced in Budget 2021-22.
  • 5F: Farm, Fibre, Factory, Fashion, Foreign.
  • Greenfield park support: 30% of cost, max ₹500 crore; brownfield max ₹200 crore; plus up to ₹300 crore incentive per park.
  • Park SPV: 51% State, 49% Centre; minimum land 1,000 acres.
  • U.P. site: Lucknow-Hardoi border; developer Ramky Infrastructure; DBFOT, 50-year concession.
Answer Lab

How to write about the Lucknow PM MITRA park in Mains

Practice question (State PCS GS-V, 8 marks, 125 words): PM MITRA parks aim to bring the entire textile value chain to one place. Discuss their potential for Uttar Pradesh, with reference to the Lucknow park.

  • Intro: Cabinet approval on 27 Oct 2026; 1,000 acres, ₹1,947 crore, one lakh jobs.
  • Scheme: 5F idea, central support, SPV, DBFOT model.
  • Gains: lower logistics cost, exports, jobs for women, links to U.P. weaving clusters.
  • Gaps: single bid, delays, effluent, small weavers left out.
  • Conclusion: speed, local inclusion and clean water use decide success.

Ready lines for your answer

State PCS GS-VI U.P. economy: textiles and jobs

  1. The park is expected to “benefit weavers, garment manufacturers and exporters” (Handloom and Textiles Minister Rakesh Sachan, 27 Oct 2026).
  2. One fence, one value chain: PM MITRA turns scattered textile steps into a single, cheaper supply line.
Quotable data point

1,000 acres; ₹1,947 crore; Centre's share up to 30%, max ₹500 crore; about one lakh jobs.

Photo: Power looms in Meerut, U.P. by Ravi Dwivedi, CC BY-SA 4.0, via Wikimedia Commons; cropped

Exam angle

UPSC

Prelims: PM MITRA scheme, 5F, seven sites, DBFOT, Seventh Schedule entries on industry. · Mains GS-III: industrial policy, textiles, PPP, employment.

Practice MCQs

Original practice questions (not PYQs).

Practice · UPSC

With reference to the PM MITRA scheme, consider the following statements:
1. It aims to set up seven textile parks.
2. A greenfield park can get central Development Capital Support of up to ₹500 crore.
3. Each park is run by a company wholly owned by the Central Government.
Which of the statements given above is/are correct?

Answer (b) & explanation

The scheme covers seven parks, and greenfield parks get 30% of project cost up to ₹500 crore. Statement 3 is wrong: each park SPV is jointly owned by the State and the Centre (51:49 in U.P.).

Practice · UPSC

In the DBFOT model of public-private partnership, the letter 'T' stands for:

Answer (c) & explanation

DBFOT means Design, Build, Finance, Operate and Transfer. The private firm hands the asset back to the government at the end of the concession period.

Quick questions

Questions students ask about this

Where is the PM MITRA park in Uttar Pradesh?

On the Lucknow-Hardoi border, on 1,000 acres of land given by the State.

Who will build the Lucknow PM MITRA park?

Ramky Infrastructure Ltd, chosen as the preferred bidder by the U.P. Cabinet on 27 October 2026. It was the only bidder.

What does PM MITRA stand for?

PM Mega Integrated Textile Region and Apparel. It is a central scheme for seven large textile parks with an outlay of ₹4,445 crore.

What is the 5F vision?

Farm to Fibre, Fibre to Factory, Factory to Fashion, Fashion to Foreign. It means the whole textile chain, from cotton to exports, in one place.

Which are the seven PM MITRA park sites?

Virudhunagar (Tamil Nadu), Warangal (Telangana), Navsari (Gujarat), Kalaburagi (Karnataka), Dhar (Madhya Pradesh), Lucknow (Uttar Pradesh) and Amravati (Maharashtra).

What is DBFOT?

Design, Build, Finance, Operate and Transfer: a PPP model where a private firm builds and runs a project with its own money and hands it back after a fixed period.