policy initiatives - Textile Magazine
policy initiatives - Textile Magazine
policy initiatives - Textile Magazine
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<strong>policy</strong> <strong>initiatives</strong><br />
SIMA thanks CM for sanctioning<br />
Rs. 9-crore grant for textile parks<br />
Though the Indian textile industry has its inherent advantages,<br />
infrastructure bottlenecks is one of the prime<br />
areas of concern for the weaving and processing sectors<br />
which are the weakest link in the entire textile value<br />
chain. Therefore, the Government launched the Scheme<br />
for Integrated <strong>Textile</strong> Parks (SITP) in July 2005 to create<br />
new textile parks of international standard at potential<br />
growth centres.<br />
The scheme had overwhelming response and attracted<br />
investments in 30 parks in the 10th Five-Year Plan and<br />
10 parks in the 11th. For the 12th Five-Year Plan, 21<br />
parks have already been sanctioned.<br />
The scheme provides 40 per cent grant, subject to a<br />
maximum of Rs. 40 crores, for infrastructure development,<br />
including land building, roads, drainage, water<br />
supply, electricity, effluent treatment plant, training<br />
centre, testing, laboratory, canteen, workers hostel, recreation<br />
facilities, and marketing support system.<br />
The Centre also encourages the State Governments to<br />
give another 9 per cent, subject to a maximum of Rs. 9<br />
crores, under the scheme to further strengthen the facilities.<br />
The Tamil Nadu Government considered the proposal<br />
positively and sanctioned funds.<br />
In a press release, Mr. S. Dinakaran, Chairman,<br />
Southern India Mills’ Association (SIMA), has thanked<br />
the Tamil Nadu Chief Minister for sanctioning the State<br />
subsidy from SITP in spite of the severe financial crunch<br />
prevailing in the State, considering the urgent need for<br />
sustenance of the competitiveness of the State textile industry.<br />
Though the State accounts for one-third of the<br />
textile business and 47 per cent spinning capacity, it has<br />
suffered a severe setback in the weaving and processing<br />
sectors due to obsolete technology and pollution issues.<br />
Mr. Dinakaran has stated that the State Government<br />
subsidy would encourage consolidation and small &<br />
medium powerlooms and processing units in the State<br />
and go in for state-of-the-art technology with world<br />
class infrastructure facilities. He has also welcomed<br />
the nomination of the Director of Handlooms as the sin-<br />
Mr. S. Dinakaran, SIMA Chairman<br />
gle window facilitator for availing and monitoring the<br />
scheme.<br />
Out of 40 textile parks coming up in the country eight<br />
are in Tamil Nadu, of which only one park which is being<br />
promoted by SIMA is the dedicated textile processing<br />
park with marine discharge facility at Cuddalore.<br />
Mr. Dinakaran has appealed to the Chief Minister to<br />
nominate the Director of Handlooms as the single window<br />
facilitator for getting all clearances from the various<br />
State and Central Government authorities to expedite<br />
the process of implementing the park. It has taken<br />
more than six years for SIMA to get all the clearances<br />
to kick-start the park. The SIMA park would commence<br />
commercial production in 18 months and provide direct<br />
and indirect employment to 30,000 people in the State.<br />
The SIMA chief has also pointed out that of the 21<br />
parks recently sanctioned, only two are in Tamil Nadu.<br />
He has appealed to the State Government to earmark<br />
sufficient land along the coastal line and declare it as<br />
dedicated zone for textile processing and attract investments,<br />
thereby giving permanent solution for the perennial<br />
pollution problem in the State.<br />
•<br />
18 | The <strong>Textile</strong> <strong>Magazine</strong> jANUARY 2012