Introduction
In a landmark move that signals Odisha’s growing industrial ambition, the state government has signed 33 Memoranda of Understanding (MoUs) with national and international investors in the textile, apparel, and technical textile sectors. These agreements, signed during the Odisha-TEX 2025 summit held in Bhubaneswar, amount to a cumulative investment of ₹7,808 crore (~$902 million USD).
With a clear aim to transform Odisha into a leading textile and apparel hub in Eastern India, this initiative is expected to generate more than 53,000 direct and indirect employment opportunities in the coming years.
What Is Odisha-TEX 2025?
Odisha-TEX 2025 is a government-led textile investment summit, designed to position Odisha as an attractive destination for textile manufacturing, value-added services, and innovation. The event brought together key stakeholders—industry leaders, policy-makers, investors, and entrepreneurs—to explore investment opportunities in Odisha’s rapidly expanding textile ecosystem.
The summit also marked the official launch of Odisha’s new Apparel & Technical Textiles Policy 2022, which provides a robust framework for subsidies, incentives, infrastructure, and skill development.
Key Highlights of the Investment Drive
- Total Investment Commitment: ₹7,808 crore (~$902 million)
- Number of MoUs Signed: 33
- Expected Employment Generation: Over 53,000 jobs
- Key Sectors: Apparel manufacturing, man-made fibers, technical textiles, spinning mills, and integrated textile parks
Why Odisha?
Odisha is emerging as a preferred destination for industrial investments due to several strategic advantages:
1. Robust Infrastructure
The state offers industrial corridors, textile parks, and integrated logistics, with excellent port connectivity via Paradip and Dhamra ports.
2. Policy Support
Odisha’s Apparel & Technical Textiles Policy 2022 ensures:
- Capital investment subsidy up to 30%
- Land subsidy and stamp duty reimbursement
- Power tariff reimbursement and interest subsidies
- Tailored incentives for mega textile projects
3. Skilled Workforce
With a strong focus on skill development, Odisha has partnered with training providers and institutions to ensure a steady pipeline of talent in garment manufacturing, stitching, dyeing, and weaving.
4. Raw Material Availability
The state has direct access to cotton-growing regions, synthetic yarn sources, and petrochemical feedstocks—making it ideal for both natural and man-made textile value chains.
Major Investors and Project Proposals
While the detailed breakdown of all 33 MoUs hasn’t been disclosed yet, officials confirmed participation from major players in Indian and global textile sectors. The projects range from greenfield textile units and integrated processing zones to R&D centers and export-oriented facilities.
Some of the expected outcomes include:
- Establishment of spinning and weaving mills
- Large-scale garment and apparel production units
- Technical textile parks for medical textiles, agro-textiles, and industrial fabrics
- Upcycling and sustainable fashion initiatives
A Game-Changer for Employment
According to the Odisha Industrial Infrastructure Development Corporation (IDCO) and the Department of Handlooms, Textiles & Handicrafts, this initiative could create over 53,000 new jobs, primarily in semi-urban and rural belts.
These will include:
- Factory-level positions (tailors, operators, supervisors)
- Logistics and warehousing jobs
- Designers, merchandisers, and technical experts
- Indirect employment in services and retail
Focus on Sustainability and Innovation
Several of the proposed projects emphasize:
- Use of recycled materials and sustainable fabrics
- Water-efficient dyeing and processing technologies
- Solar-powered factory units
- AI-powered machinery and automation in production
This aligns with Odisha’s ambition to build environmentally responsible manufacturing clusters that are globally competitive.
What Leaders Said
Chief Minister Mohan Majhi, in his inaugural speech, stated:
“Odisha is poised to become the textile powerhouse of Eastern India. The support we’re receiving from investors confirms our state’s growing reputation as a progressive, policy-driven, and industry-friendly destination.”
The Chief Minister also reiterated the state’s commitment to:
- Fast-tracked project approvals
- Single-window clearances
- Plug-and-play industrial infrastructure
Connecting with the Global Market
With India’s textile exports projected to reach $100 billion by 2030, Odisha aims to play a major role by:
- Establishing export zones and bonded warehouses
- Partnering with global retailers and buying houses
- Encouraging textile startups and MSMEs through funding and incubation support
The MoUs signed at Odisha-TEX 2025 are expected to position the state on the global map for apparel exports, especially in technical and performance fabrics.
Way Forward
The government plans to:
- Begin land allocation for projects within 3 months
- Operationalize at least 10 units by mid-2026
- Launch a dedicated Textile Cell to coordinate between industries, infrastructure agencies, and training institutes
- Promote cluster-based development to ensure rural and tribal participation
Conclusion
Odisha’s decision to sign 33 MoUs worth $902 million in the textile sector is more than a strategic economic initiative—it’s a visionary step toward industrial transformation, rural upliftment, and global integration.
As implementation begins, the state is set to redefine itself from a mineral-rich economy to a multi-sectoral growth engine, with textiles at the forefront.