After the IT industry, the textile sector appears to be joining the special economic zone bandwagon, with 8 zones planned with an outlay of Rs 8,450 crore (Rs 84.5 billion).
While four of the 26 parks being constructed under the scheme for integrated textile parks will be upgraded to full special economic zones status, handicrafts will get a fillip with four SEZs.
The proposed textile parks at Mundra (Gujarat), Perundurai (Tamil Nadu), Palamanara (Andhra Pradesh) and Brandix Lanka's planned unit at Visakhapatnam are likely to get the government's nod for SEZ status.
If the potential of these export-oriented parks for earning foreign exchange is high, they are converted to special economic zones," said RCM Reddy, CEO (cluster development initiative), Infrastructure Leasing & Financial Services (ILF&S) -- project management consultant for implementing the scheme.
While Brandix's proposed integrated garments division SEZ (1,000 acre) plan is pegged at a massive $1 billion, the Mundra SEZ for garments is budgeted at around Rs 500 crore (Rs 5 billion).
Perundurai's SEZ, which would specialise in the production of home furnishings, would cost about Rs 600 crore (Rs 6 billion) and the yet to be finalised garments SEZ in Palamanara is budgeted at approximately Rs 400 crore (Rs 4 billion).
While the Visakhapatnam SEZ is being promoted by Brandix Lanka Ltd, the Adani Group is behind the venture at Mundra. The SEZs at Perundurai and Palamanara are being promoted by a group of private manufacturers and exporters.
"Land has been procured and the detailed project report has also been prepared for the SEZs at Mundra, Perundurai and Visakhapatnam and construction will begin shortly," Reddy said.
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