Odisha Signs 33 MoUs for $902 Million Investment in Textile Sector

Odisha has taken a major step to strengthen its textile and apparel industry by signing 33 Memorandums of Understanding (MoUs) worth $902 million (₹7,808 crore). This milestone was achieved during the Odisha-TEX 2025 summit held in Bhubaneswar. The initiative is part of the Odisha Apparel & Technical Textile Policy 2022, aiming to transform the state into the textile hub of eastern India.

Key Highlights of the Announcement

Massive Investment Boost

The state government, under the leadership of Chief Minister Mohan Charan Majhi, signed MoUs worth $902 million with more than 160 textile companies. Prominent participants included Page Industries, KPR Mills, Sportking, Adarsh Knitwear, Bon & Co., and B.L. International.

Job Creation Goals

Odisha has set a target to generate over one lakh jobs by 2030 in the textile and apparel sector. This will significantly boost the state’s employment rate and provide opportunities for both skilled and semi-skilled workers.

Expansion of Textile Clusters

The government plans to develop textile hubs in six key districts,

• Bolangir
• Keonjhar
• Sambalpur
• Jagatsinghpur
• Ganjam
• Cuttack

These clusters are expected to attract large-scale textile manufacturing units, thereby strengthening the industrial base of the state.

Policy Support and Incentives

Apparel & Technical Textile Policy 2022

The Odisha Apparel & Technical Textile Policy 2022, aligned with the Industrial Policy Resolution 2022, offers attractive incentive packages to investors. The policy emphasizes,

• World-class infrastructure
• Fast-track project approvals
• Employment subsidies
• Supportive governance

Employment Subsidy Enhancement

The Chief Minister announced an increase in employment cost subsidies to encourage higher workforce participation,

• From ₹5,000 to ₹6,000 per month for male workers
• From ₹6,000 to ₹7,000 per month for female workers
• This move will not only make the sector worker-friendly but also ensure greater female participation in the textile industry.

Odisha-TEX 2025 Summit

The Odisha-TEX 2025 summit served as a global platform for showcasing the state’s investment potential. Over 650 delegates participated, including global textile brands, technology providers, startups, and senior government officials.

A dedicated Task Force has also been formed under the Industries Department to ensure smooth execution of the signed MoUs and provide full government support for investors.

Strategic Importance

With this initiative, Odisha is positioning itself as the future textile hub of eastern India. The focus on policy reforms, infrastructure development, and employment generation makes this move a game-changer for the state’s economy. It will also contribute to India’s overall goal of strengthening the textile and apparel export market.