Surat's Textile Units Scout For Investment Opportunities In Other Indian States

ENA Sectors 2024-03-21 14:15:10 Surat, Mar 21 (KNN) Surat, known as the textile capital of India, is witnessing a shift in its industrial landscape as key players look beyond Gujarat's borders for new investment opportunities. Maharashtra, Madhya Pradesh, and Odisha have emerged as preferred destinations for setting up textile units, lured by the array of incentives offered under their respective policies. With an estimated investment of Rs 3,000 crore already poured into these states by Surat's textile giants, industry insiders cite a multitude of factors driving this trend, reported TOI. Subsidies covering capital, power, and loans at lower interest rates, coupled with incentives for renewable energy, are proving decisive in attracting Surat's industrialists to explore opportunities elsewhere. While Gujarat boasts superior infrastructure, neighbouring states are enticing investors with substantial incentives, remarked Ashish Gujarati, former president of the Southern Gujarat Chamber of Commerce and Industry (SGCCI). He noted the emergence of Navapur, a remote tribal village near the Gujarat-Maharashtra border, as a burgeoning textile hub due to the lack of incentives in Gujarat. Ashok Jirawala, president of the Federation of Gujarat Weaver Welfare Association (FGOWWA), highlighted the trend of Surat-based industrialists diversifying their investments over the past few years, with the pace accelerating significantly in recent times. Some states are offering subsidies up to 50 per cent, posing a serious challenge to Gujarat's textile sector, he added. In response to this exodus, SGCCI has been actively engaging with the Gujarat government, advocating for a competitive textile policy and incentives to retain local players. Despite our efforts, there are lingering concerns yet to be addressed by the government, lamented Ramesh Vaghasiya, president of SGCCI. Kailash Hakim, president of the Federation of Surat Trade and Textile Associations (FOSTTA), acknowledged the impact on local businesses, citing the availability of trained labourers as a key factor driving manufacturers to diversify their operations beyond Gujarat's borders. (KNN Bureau) 37118 https://knnindia.co.in/news/newsdetails/sectors/surats-textile-units-scout-for-investment-opportunities-in-other-indian-states 2024-03-21 14:15:10 knnindia.co.in Surat's Textile Units Scout For Investment Opportunities In Other Indian States