CCEA approves additional projects under SITP

06 Oct '10

2 min read

The Cabinet Committee on Economic Affairs approved additional projects under Scheme for Integrated Textile Parks (SITP). The number of sanctioned projects will be limited so that committed liability of the new projects is within the balance amount of 200 crore available from SITP plan allocation in the 12th Five year Plan.

The guidelines of the scheme have been modified to provide for an exclusive appraisal mechanism to analyse projects in detail to ensure viability and feasibility of such projects. It has been decided to have a deeper and incisive appraisal system built in the guidelines to ensure holistic appraisal and scrutiny of projects.

Accordingly, modification of the extant guidelines has been approved to bring in a two tier system, an inter-ministerial Project Scrutiny Committee to apprise and recommend the project to the Project Approval Committee.

The overall impact and progress of the Scheme for Integrated Textile Parks had been positive and encouraging despite the adverse economic conditions for almost two years. The SITP has demonstrated the efficacy and sustainability of the cluster based approach for development of sector specific industrial parks. Development of additional textiles parks in the backdrop of successful implementation will facilitate additional investment, employment generation and increase in textiles production.

Press Information Bureau

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