The Hindu Business Line : Panel clears 4 projects under textile parks scheme

THE scheme for "Integrated Textile Parks" (ITPs), for providing the industry with world-class infrastructure facilities for setting up textile units, got off to a start with the Project Approval Committee (PAC) of the Textile Ministry giving its nod for four such parks entailing an investment of Rs 1,765 crore in Gujarat, Maharashtra, Tamil Nadu and Rajasthan.

Sources in the industry told Business Line that at the second meeting held here under the Chairmanship of Secretary (Textiles), Mr R. Poornalingam, approvals have been granted to Gujarat Eco Textiles Park, Surat, Metro Hi-Tech Cooperative Park, Kohlapur, SIMA Textiles Processing Centre, Cuddalore and Jaipur Texweaving Park, Silora, Kisangarh.

The scheme, designed to achieve the textile and clothing export target of $50 billion by 2010, proposes to create 25 textile parks of international standards at potential growth centres by 2007-08.

The Ministry for Textiles implements the scheme through special purpose vehicles (SPVs) at the field level and the Infrastructure Leasing & Financial Services (IL&FS) is the project management consultant for the entire scheme.

At the first meeting of the PAC held in September , IL&FS had said that it would be able to develop 13 project proposals by March 2006 with the potential areas for development including Visakhapatnam (Andhra Pradesh), Hindupur in Ananthapur district (Andhra Pradesh), Surat (Gujarat), Mundra (Gujarat), Wada under Thane district (Maharashtra), Burhanpur (Madhya Pradesh), Jaipur (Rajasthan), Cuddalore (Tamil Nadu), Perundurai (Tamil Nadu) and Kolkata (West Bengal).

With the PAC clearance for four of these identified 13 projects, the scheme is formally off, the sources said adding that the Gujarat Eco Textile Park (GETP) at Surat with an investment of Rs 705 crore is expected to produce 23 lakh metres of fabric/day and its annual production value would be Rs 850 crore.

The number of entrepreneurs in this park would be 72comprising 34 weavers, 12 embroiders, 24 processing houses and two composite units (with weaving, processing and embroidery facilities).Sources said the Meero Hi-Tech Cooperative Textile Park, Kolhapur with an investment of Rs 335 crore is likely to generate production of Rs 200 crore. As many as 125 entrepreneurs have come forward to establish weaving, sizing, processing and garment units in the park. As the SPV is registered as a cooperative, it plans to tie up with the Government of Maharashtra for getting preference in outsourcing, the sources said adding that the project is likely to be completed within 15 months from the date of approval of the project.

SIMA Textile Processing Centre, Cuddalore is being put up by SIMA, the textile industry association with leading companies of south India such as Loyal Textile Mills Virudhunagar Mills Ltd, Eastman Exports Ltd, Sri Saravana Spinning Mills, Bannari Amman Group, Super Spinning Mills Ltd and BKS Textiles Ltd, envisaging an investment of Rs 475 crore to generate annual production worth Rs 500 crore.

As the entrepreneurs are leading textile manufacturers, the processed fabric output from this park would enable each of them to meet their respective captive demand, besides meeting the needs of the market.

Sources said the Jaipur Texweaving Park, Kishangarh (Rajasthan) is being put up by 51 entrepreneurs in the business of textile weaving, yarn trading as they propose to establish loom for bed linen, denim, garment fabrics, sizing, garments and made-ups. With an investment of Rs 250 crore, the annual production value is likely to be Rs 550 crore.

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