News

Corporate Update

Chhattisgarh Unveils 200% Incentive Push To Attract Textile Manufacturing Investments

• By  Textile Excellence
• March 26, 2026

The Government of Chhattisgarh has announced incentives of up to 200% of fixed capital investment under its Industrial Development Policy 2024 to 2030, targeting rapid expansion of textile and garment manufacturing. The policy offers capital subsidies, employment-linked incentives, and operational support to improve project viability.

A garment unit investing ₹100 crore and generating 3,000 jobs may receive benefits worth up to ₹200 crore, including wage support of ₹6,000 per month for women workers and ₹5,000 for male workers over five years.

Dedicated textile parks in Nava Raipur provide plug and play infrastructure, 24x7 operations, integrated effluent systems and strong connectivity to ports and rail corridors. India’s textile sector, valued at over US$ 165 billion, is projected to reach US$ 350 billion by 2030, intensifying competition among states to attract investments. The initiative aims to boost employment, strengthen domestic manufacturing, and position Chhattisgarh as a competitive textile hub.

For a garment factory with an investment of ₹100 crore and employment generation of 3,000 persons, the Chhattisgarh Govt’s incentive structure may be illustrated as below:

Estimated Investment: ₹100 crore

Fixed Capital Subsidy: ₹52 crore

Interest Subsidy:          ₹9.62crore

Employment Generation Assistance: ₹99 crore

Transport Subsidy for Export: ₹20 crore

EPF Reimbursement:   ₹10 crore

Other Subsidies:          ₹10 crore

Total Subsidy:            ~₹200 crore

Dedicated textile parks in Nava Raipur provide plug and play infrastructure, 24x7 operations, integrated effluent systems and strong connectivity to ports and rail corridors. India’s textile sector, valued at over US$ 165 billion, is projected to reach US$ 350 billion by 2030, intensifying competition among states to attract investments.