• The Scheme for Integrated Textile Parks (SITP) was launched in 2005 to encourage private investments and employment generation in textile sector. • The scheme targets industrial clusters/locations with high growth potential, which require strategic interventions by way of providing world-class infrastructure support. • A total of 59 textile parks have been sanctioned under SITP by the Ministry of Textiles, out of which 22 textile parks have been completed. • Under the Scheme for Integrated Textile Park (SITP), some 26,282 people in Gujarat got employed in textile parks followed by Maharashtra (22,910), Andhra Pradesh (19,137) and Tamil Nadu (9,995).
The Scheme for Integrated Textile Parks (SITP) was launched in 2005 to encourage private investments and employment generation in textile sector by facilitating world class infrastructure for common facilities, such as roads, water supply treatment and distribution network, power generation and distribution network, effluent collection treatment and disposal system, design centre, warehouse, first aid centre, etc.
SITP would create new parks of international standards at potential growth centres. This scheme envisages engaging of a panel of professional agencies for project identification and execution. Each Integrated Textile Park (ITP) under the scheme would normally have 50 units. The number of entrepreneurs and the resultant investments in each ITP could vary from project to project. However, aggregate investment in land, factory buildings and Plant & Machinery by the entrepreneurs in a Park shall be at least twice the cost of common infrastructure proposed for the Park.
The new ITPs being set up under the Scheme may be excluded from the SEZs. The scheme targets industrial clusters/locations with high growth potential, which require strategic interventions by way of providing world-class infrastructure support. The project cost will cover common infrastructure and buildings for production/support activities (including textiles engineering, accessories. packaging), depending on the needs of the ITP. There will be flexibility in setting up ITPs to suit the local requirements.
The Government is implementing the Scheme for Integrated Textile Park (SITP) which provides support for creation of world-class infrastructure facilities for setting up of textile units, with a Government of India (GoI) grant of up to 40% of the project cost subject to a ceiling of Rs. 40 crore. However, GoI grant is up to 90% of the project cost for first two projects (each) in the States of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, Sikkim, Himachal Pradesh, Uttarakhand and Jammu & Kashmir; with ceiling limit of Rs. 40 crore for each textile park.
The Scheme is demand driven. A total of 59 textile parks have been sanctioned under SITP by the Ministry of Textiles, out of which 22 textile parks have been completed and rest are under various stages of construction. The details are given below at Annexure I.
The slow progress in implementation of the textile parks under the Scheme has been attributed primarily to delay in obtaining land and other statutory clearances to the parks from State Governments and slow fund mobilisation by the textile parks. Regular meetings are held at senior levels in the Ministry of Textiles with various stakeholders of the textile parks and State Government representatives to resolve any issues faced by them. Regional conferences are also conducted by the Ministry of Textiles on periodic basis.
Two textile parks have been sanctioned in Uttar Pradesh so far, under the Scheme. The details are given at Annexure-II. However, no fresh proposal for setting up textile parks in Uttar Pradesh and Bihar under SITP is pending for consideration in Ministry of Textiles.
ANNEXURE- I
Annexure-II
Status of Textile Park under SITP in Uttar Pradesh
The ITP scheme was intended to cover all segments of the textile industry from spinning, weaving to garmenting. The Ministry is implementing the Integrated Processing Development Scheme (IPDS) for enabling the textile processing sector to meet environmental standards through adoption of appropriate technology, specifically in the area of water and waste water management. The Scheme is a demand driven scheme. The Ministry has sanctioned 7 Projects under the IPDS for setting up ‘Common Effluent Treatment plants’ (CETPs) with Zero Liquid Discharge (ZLD) systems out of which 3 projects arein the state Rajasthan, 3 projects in the state of Tamil Nadu and 1 project in the state of Gujarat. Also, required CETPs may be included in SITP proposal under ‘Common Facility’ component.
When it comes to creating jobs in the textile sector, Gujarat is faring well – the best in the country. Under the Scheme for Integrated Textile Park (SITP), some 26,282 people in Gujarat got employed in the textile parks set up in Gujarat under SITP. Gujarat leads other manufacturing-heavy states such as Maharashtra (22,910), Andhra Pradesh (19,137) and Tamil Nadu (9,995) in employment generation under SITP.
The textile sector in India has been struggling to compete in the global market, due to loss in cost competitiveness and inability to move up the value chain. Integrated textile parks can play a major role in addressing these constraints and enable the sector to win back its pre-eminence in the global market.
You must be logged in to post a comment.
Stay ahead in the dynamic world of trade and commerce with India Business & Trade's weekly newsletter.