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Rediff.com  » Business » Dormant Gujarat projects may restart

Dormant Gujarat projects may restart

By Meghdoot Sharon in Ahmedabad
September 27, 2003 13:25 IST
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Projects such as apparel parks at Ahmedabad and Surat and the Gems and Jewellery Park in Surat, which have been lying dormant for the past five years, are likely to receive a boost as the state government makes a frantic bid to promote industries related to textiles and gems and jewellery.

The government on Friday indicated that steps are being taken to hasten completion of construction of apparel parks at Ahmedabad and Surat, as also a gems and jewellery park at Surat.

The Surat diamond industry has been demanding that a gems and jewellery park be set up at the earliest. However, this demand has still not been met.

Minister of state for industries Anil Patel said on Friday that the growth engine for Gujarat's development will be Surat and steps are being taken to set up the apparel parks and the gems and jewellery park at the earliest.

In less than one year from now, these projects will be implemented, the minister said.

Commenting on the progress of the gems and jewellery park in Surat, Patel said the government is in the final stage of allotting a plot in a Gujarat Industrial Development Corporation estate at Surat for setting up the park.

"I believe that the government must not set up a gems and jewellery park where it wants, but at a place where the traders want. It should be at a place where safety is guaranteed, marketing is easy and the workmen face minimum inconvenience," he said.

Industries secretary Amarjit Singh, while explaining that several steps have been taken in this direction, said, "For the first time, the government entered into a bidding process and purchased property of Shri Ambica Mills in Ahmedabad at Rs 15 crore (Rs 150 million). We propose to set up the apparel park in Ahmedabad on the land of Ambica Mills," Singh said.

Ahmedabad, which once was known as the Manchester of India, has very few operational textile mills as of now.

Patel said as far as the apparel park in Surat is concerned, the government has given a grant of Rs 18 crore (Rs 180 million) while the government of India has given a grant of Rs 17 crore for setting up the apparel park at Surat.

"This apparel park will provide employment to 50,00 persons, a majority of whom will be women," the minister said.

According to the state government officials, Gujarat sells raw cotton to other states, but this can be utilised more profitably if a chain of industries were set up from processing to marketing of garments.

"Why should India import snow jackets, or shoes or tents, when these are basically textile related," asked Amarjit Singh.

As far as diamonds are concerned, the Surat diamond industry cuts and polishes eight out of every ten diamond that is processed in the world.

However, in the absence of a gems and jewellery park, these diamonds are sold at a much higher price by others, who add value to the diamonds.

There has been a four-fold increase in exports of diamonds from Surat in the decade 1991-2001.

Minister Patel said after the gems and jewellery park is set up, the exports could touch USD four billion by the end of the next decade.
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Meghdoot Sharon in Ahmedabad
 

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