Textiles ministry eyes 25 new integrated parks

Extending the scheme for integrated textile parks (SITP) further, the Ministry of Textiles has now set a target of sanctioning 25 such parks under the scheme by March 2011. The ministry has already received around 32 proposals for integrated textile parks from across the country, including two from Gujarat.

"Out of the 40 parks sanctioned under the SITP, as on date 25 parks are operational, while the rest will be operational by next year. Our government has extended this scheme wherein we aim to sanction at least 25 new such parks by March 2011. Moreover, the government has also introduced integrated skill development scheme with a dedicated budget of Rs 229 crore," said Panabaaka Lakhsmi, union minister of state for textiles, Government of India here on Thursday.

 

Under the SITP scheme, the Centre provides one time financial assistance of 40 per cent of the project cost (upto Rs 40 crore) for each integrated textile park. All sub-sectors of textile industries namely ginning, spinning, texturising, weaving, knitting, processing and garmenting, among other ancillaries, are eligible to avail the benefit. Under the scheme, entire range of common infrastructure including road, water supply, effluent treatment, captive power plant, training facilities, testing labs and factory buildings owned by special purpose vehicles (SPVs) set up by park user units are entitled for subsidy.

The central government has sanctioned 40 parks all over India in the past, out of which seven parks are functioning successfully in Gujarat. So far, Rs 4,133 crore worth projects have been approved under SITP and grant of Rs 1,419 crore have been sanctioned. According to V Srinivas, joint secretary, Ministry of Textiles, on full completion of the 40 integrated textile parks across nine states, additional investment of Rs 15,000 crore and creation of over five lakh jobs is likely to be seen by next year. "Total loans sanctioned by banks so far for infrastructure alone has been Rs 15 crore. On our part, the extended SITP will give special preference to proposals that have 100 acres of land and theme-based parks," Srinivas added.

The seven textile parks sanctioned in Gujarat include Gujarat Eco Textile Park in Palsana in Surat, Vraj Integrated Textile Park at Bareja in Ahmedabad, Surat Super Yarn Park at Mangrol in Surat, Fairdeal Textile Park at Kosamba in Surat, Mundra SEZ Textile & Apparel Park in Kutch, Sayana Textile Park at Icchapore in Surat and RJD Integrated Textile Park at Icchapore in Surat.