SIDBI & IL&FS sign up for setting 25 textile parks

21 Jul '05

1 min read

Small Industries Development Bank of India (Sidbi) and IL&FS have signed an agreement, to set up 25 SME textile parks over two years.

The porject will see an investment of Rs 10,000 crore.

The textile parks, will be designed incorporating the best of infrastructure to support latest production techniques. The units will adhere to global trade compliances in quality, environment and social responsibility.

Funds (about 20 percent)of the required amount for the proposed project would come from contribution of small and medium enterprises (SMEs) wanting establish units in the park. Another 40 percent would be acquired by loans under various schemes of the government and the rest (40 percent) through long-terms loans arranged by IL&FS and SIDBI.

Of the eight parks earmarked in the plan, a weaving park on a 150 acre plot in Andhra Pradesh, four other weaving parks are coming up around Erode in Tamil Nadu and one in Karnataka. Two textile processing parks are also being undertaken in Tamil Nadu.

Apparel parks are also being constructed in Kolkata and in Ludhiana. Each textile park would come up at the cost of Rs 170 crore to Rs 200 crore.

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