Bhubaneswar: In a significant push to industrialise western Odisha, the State Cabinet has approved a proposal by Shree Ambica Cotspin Pvt. Ltd. to set up a modern yarn manufacturing (spinning) unit in Bolangir district, officials said.
The project, with an investment of ₹124 crore, is aimed at strengthening the textile value chain in the state, particularly in the KBK (Kalahandi-Bolangir-Koraput) region and other Aspirational Districts that have historically lagged in industrial development.
According to official sources, the proposed unit will focus on forward integration of the cotton value chain by converting raw cotton into yarn, addressing a long-standing gap in Odisha’s textile ecosystem. Despite a steady rise in cotton cultivation, the state has lacked adequate downstream processing infrastructure, leading to limited local value addition.
Shree Ambica Cotspin, an Odisha-based company with over 27 years of experience in the textile sector, plans to leverage advanced spinning technology to retain more value within the state and support the development of a “farm-to-fabric” ecosystem.
The project is expected to generate direct employment for around 300 people, offering a boost to livelihoods in Bolangir and nearby areas, where industrial opportunities have remained limited.
Officials said the initiative would also improve the competitiveness of the region’s textile sector by enabling the development of a local spinning and weaving ecosystem, reducing dependence on other states for yarn supply.
The Cabinet’s approval reflects the state government’s broader strategy of promoting high-value and technology-driven industries in underdeveloped regions. The project is also expected to attract ancillary investments, creating a multiplier effect on economic activity across western Odisha.
With this move, the government aims to position the KBK region as an emerging hub for textile manufacturing, contributing to more balanced and inclusive regional development.
