Karnataka   

Textile Park to come up in Shimoga

Bangalore: The State Government has granted 250 acres of land for setting up a textile park in Shimoga by Sai Exports, a Bangalore-based garment manufacturing firm.

The company, which has a few units in Bangalore, will invest Rs. 560 crore to set up the textile manufacturing plant on the land acquired by the Karnataka Industrial Areas Development Board (KIADB). The project is expected to generate 50,000 jobs in the next few years.

Minister for Textiles Goolihatti D. Shekar told presspersons here on Friday that the State Cabinet cleared the project. Sai Exports has purchased 250 acres of land by paying Rs. 10 lakh an acre to the KIADB. The KIADB has acquired 530 acres of land in Shimoga about three years ago but none of the investors had come forwarded to set up the company owing to economic slowdown.

The Mangalore Electricity Supply Company will supply power to the company. The State Government has requested the promoter to give preference to locals during recruitment. The Government has instructed the company to provide jobs to locals according to the Sarojini Mahishi Report, he said.

The company would avail itself of all incentives and concessions applicable under the Textile Policy 2008 of the State. The Government would provide subsidy and other incentives to firms who are ready to invest in the State. The Department is holding talks with Bombay Rayon Fashions Ltd and other textile companies to attract investment, he said.

However, the State Government had not been unable to attract investment during the last one year owing to economic slowdown. The Government had hoped to attract around Rs. 10,000 crore of investments in new textile facilities that would create around 500,000 skilled jobs in the next five years.

The Government has offered to provide financial aid of Rs. 500 crore for effective implementation of the policy. Maharashtra and Gujarat Governments offer more incentives for investors to set up textile units. The Government has plans to set up integrated textile parks at Belgaum, Bagalkot, Harappanahalli in Davanagere and Maddur in Mandya, he said.

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