A mini textile park is coming up in Salem, Tamil Nadu. The state will either bear 50 per cent of the cost that will be used for the construction of roads, sewage treatment plant and captive power plant or offer subsidies worth Rs 2.5 crores to manufacturers.

Around 10 apparel manufacturers will build the park. But they have to buy the land on their own and establish at least ten work sheds in the textile park to get the subsidy. Further, the total investment in building construction and machinery should be double the amount spent on the above-mentioned facilities. Entrepreneurs should open a bank account in a nationalised bank in the name of the park. The subsidy will be released in three installments and the entrepreneurs should produce all necessary documents at the time of release of each installment.

The aim is to improve the living standard of handloom and power loom weavers in the district. The entire project will be monitored by the Director of Handloom and Textiles which will hold meetings with manufacturers to take the plan forward. Tamil Nadu accounts for nearly 30 per cent of the country’s handloom textiles production and 50 per cent of exports.