BENGALURU: The Congress government has announced its new Textile and Apparel Policy 2026–31 to attract more investment and create more employment opportunities in the readymade garment sectors in the state. According to a Government Order issued on Wednesday, the vision of the policy is to establish Karnataka as World class, fiber-to-fashion and sustainable textile and apparel manufacturing hub.
The government expects to attract Rs 20,000 crore in domestic and foreign direct investment across the state’s textile value chain and create five lakh jobs with focus on Kalyana Karnataka and other Tier-2 and Tier-3 cities. For the first time, the department of handlooms and textiles requested for a financial support of Rs 4,000 crore for the implementation of the policy, and the government has approved it.
The policy seeks to develop Karnataka into a globally competitive textile and apparel manufacturing hub by prioritising textile production, technical textiles, handlooms, silk, skill development, exports and sustainable manufacturing practices. For the first time, activities related to silk yarn production, including silk reeling and silk spinning, have been brought within the scope of the policy.
The policy seeks to address regional imbalances by promoting textile units established in the Pradhan Mantri Mega Integrated Textile Region and Apparel (PM MITRA) park at Kalaburgi through special incentives and concessions. It stresses on establishing a skill development framework to bridge the talent gap and also build state of the art textile clusters.
The government said in a statement that it has identified 34 taluks for special attention. It stresses that eligible new textile and apparel units established in these taluks will be entitled to additional incentives and concessions apart from the general benefits available under the policy. Also on priority list is increasing exports and enhancing market linkage, besides revitalising the handloom sector, positioning geographical indicators and establishing centres of excellence.
