Tamil Nadu Budget Allocates Rs 1,918 Cr For MSMEs; Proposes 9 New Industrial Estates

Chennai, Mar 15 (KNN) The Tamil Nadu government has earmarked Rs 1,918 crore for the Micro, Small, and Medium Enterprises (MSME) Department as part of its comprehensive strategy to expand industrial infrastructure, foster entrepreneurship, and support traditional artisans across the state.

Finance Minister Thangam Thennarasu announced that the Tamil Nadu Small Industries Development Corporation (SIDCO) will develop nine new industrial estates throughout the state with an investment of Rs 366 crore. 

These industrial facilities are projected to create approximately 17,500 employment opportunities, bolstering the state's manufacturing capabilities and economic growth.

The new industrial estates will be strategically established across multiple districts: Thirumudivakkam in Kancheepuram, Saram and Nayanur in Villupuram, Nagampalli in Karur, Sooriyur in Tiruchy, Karuttapuliyampatti in Madurai, Thanichyam in Ramanathapuram, Naduvur in Thanjavur, and Narasinghanallur in Tirunelveli. 

This distribution reflects the government's commitment to balanced regional development across the state.

For the 2025-26 fiscal year, the Finance Minister revealed that banks have committed to extending loans totaling Rs 2.5 lakh crore to benefit 10 lakh MSMEs throughout Tamil Nadu.     

The state currently holds the distinction of ranking third nationally with over 32 lakh registered MSMEs, underscoring its position as a key hub for small and medium enterprises in India.

The government continues to prioritise innovation through its startup ecosystem initiatives. 

The Tamil Nadu Startup Seed Fund has received an allocation of Rs 20 crore, to be administered through the Tamil Nadu Startup and Innovation Mission (TANSIM). 

This funding aims to provide critical early-stage capital for emerging businesses and entrepreneurs in the state.

Recognising the growing importance of aerospace technology, the Finance Minister also announced the creation of a dedicated 'Space Tech Fund' with an initial allocation of Rs 10 crore. 

Complementing this investment, Chennai will soon host a comprehensive foundation and prototype development laboratory equipped with satellite testing capabilities, space-grade qualification test facilities, incubation resources, and skill development programs to nurture talent in this high-potential sector.

(KNN Bureau)