Lack of coordination among the units in the textile parks, inability to attract the right investors, failure to achieve economies of scale, absence of collective approach in raw materials sourcing and marketing, small size of the parks, and dearth of marketing support from the Government have emerged as reasons behind failure of Scheme for Integrated Textile Parks (SITP), launched in 2005. This has been stated in a report commissioned by Indian Textiles Ministry. The scheme was launched to provide the industry with state-of-the-art world-class infrastructure facilities for setting up their textile units.
The report has suggested launching of new parks having minimum land size of 1,000 acres, and infrastructure support in the form of readymade factory sheds, warehouse, incubation centres and testing labs, with express connectivity to seaports and airports under the scheme Mega Textile Parks.
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The scheme has so far achieved limited clusterization. Industrial corridor or areas near seaport has been recommended as an ideal location to set up mega textile parks. Out of total sanctioned 74, only 30 parks are functional which are involved in production of spun yarn, fabric weaving and knitting, fabric processing, garmenting, made-up manufacturing, and technical textiles, while eight have applied for cancellation. These functional parks have managed to provide employment to only 68,000 people which is 57 per cent of their planned employment.
