Feb 25, 2013 - NAGPUR
Finally, it looks like the white gold of Vidarbha - cotton - will have its heyday. In size, land under cotton cultivation is the largest in the state in this region and so also is the yield. Pandharkawda in Yavatmal district has found a niche for producing the world's best quality cotton fibre. But, when it came to processing industry, the region never made its mark.
Most of the cotton produced here is carted off to far off places, ranging from Ludhiana in the north to Coimbatore in the south, where textile units are flourishing. This situation could reverse and the region's main cash crop can yield more value as textile units and new investors from all over the country are eying Vidarbha's cheap land, labour and raw material.
Textile units from as far as Punjab, Mumbai and Tamil Nadu are keen to start shops in Vidarbha where land rates are relatively cheap and cotton is available in abundance and assured power and water are not a problem.
"We have succeeded in closing four such deals. With a total estimated investment in the range of Rs700 crore, these four units to come up at Nandgaon Peth near Amravati have potential to employ over 2500 people directly and indirectly. Moreover, investment proposals for another Rs1000 crore are in the pipeline," said Prakash Mishra, managing director of Target, a textile consultancy firm headquartered in Nagpur.
The company has pan India presence and also offices in Bangladesh which has emerged as major exporter of textiles and garments in last few years. "We believe, as of today Vidarbha is best suited for investment in textile sector. Moreover, Nandgaon Peth has been a major attraction with large bank of MIDC land available at cheap rates. Of the 27,000 hectares land there, 80% is lying unused. The new industrial and textile policy is promising more subsidies and incentives.
A large number of investors from South India are also showing interest in shifting here because of peaceful environs, better connectivity with all parts of the country, including ports of Mumbai for sending export consignments," said Mishra.
"What is discouraging is the attitude of the state agencies like MIDC, industries department and power utilities. These agencies are so slow in decision-making that investors get frustrated and start looking for other alternatives," cautions Pankaj Rathi, operations head of Target who looks after all non-technical work.
"For setting up a common effluent treatment plant, approvals are taking months. More importantly, if Nandgaon Peth is declared a textile zone, a large number of units would flock there. A cluster approach is preferred by textile units as they save a lot through sharing costs of common utilities," explained Rathi.
But this matter is hanging fire for a long time as industries department is not responding. "More shocking is the attitude of Vidarbha Industries Association. It is hardly of any help. VIA should take up a major role as a lobbying and pressure group for the entire region. But it has miserably failed to do so," says Rathi. (Source: The Times of India)