Led by Chief Minister Mohan Charan Majhi, the Odisha Cabinet has formally approved a Rs 124 crore investment for a modern spinning unit in Balangir district. Spearheaded by Shree Ambica Cotspin, this facility represents a critical shift in the state’s industrial policy to retain value within its borders. Despite a steady increase in regional cotton cultivation, Odisha has historically functioned as a raw material exporter, shipping high-grade cotton to spinning hubs in Tamil Nadu and Gujarat for processing. This new project aims to reverse that trend by establishing downstream processing infrastructure directly within the Kalahandi-Balangir-Koraput (KBK) region.
Integration of Industry 4.0 and regional supply chain resilience
Equipped with advanced spinning technology, the unit is designed to produce high-tenacity yarn for both domestic industrial markets and local handloom clusters. Beyond the immediate creation of 300 direct jobs, the facility acts as a catalyst for a proposed textile cluster in Western Odisha. Industry experts anticipate, localized yarn production will reduce logistics overheads for regional weavers by approximately 15–20 per cent. This project is the cornerstone of our 'farm-to-fabric' mission, notes Anu Garg, Chief Secretary. By aligning with India’s broader technical textile aspirations, the plant is expected to integrate IoT-enabled quality monitoring to meet international standards, facilitating direct export opportunities from the state's emerging manufacturing base.
Regional manufacturing specialization: Shree Ambica Cotspin
An Odisha-based enterprise with over 27 years of experience in the textile value chain, Shree Ambica Cotspin focuses on cotton ginning and yarn manufacturing, primarily serving the Eastern Indian market. Under its current expansion roadmap, the firm aims to leverage state incentives to modernize its spinning capacities and achieve vertical integration, significantly improving the financial returns for local cotton growers through direct procurement.












