Andhra attracts more textile mills from Tamilnadu

Coimbatore: The group of mill owners from Tamil Nadu is planning to move their textile business to neighbouring state, Andhra Pradesh, industry sources said.The major attraction for the mills to move to Andhra Pradesh, which is wooing the textile sector to set up spinning mills, was land, power and also the much-needed manpower, which were the backbone of the textile sector.Andhra lures more textile mills from Tamilnadu

Further, the disruption of power during peak hours, was curtailing production in the state, particularly in the western region, where concentration of textile activities was more.Also the non-availability of labourers and skilled workers was creating problem to the mills, which after a four-year crisis, started picking up for the last couple of years.Recently Southern India Mills' Association (SIMA) has indicated the willingness of 10 large mills to set up units in Andhra Pradesh, considering the financial attraction, which was not available in Tamil Nadu.

After the invitation of Andhra Pradesh government for investments and reafy available of power, which contributed 15 percent of cost of production, at Rs 2.50 per unit, many textile mills in Tamil Nadu have shown interest.

The AP government has also come forward to provide workers and train them apart from providing land at a lower cost.

Source:Bharat Textiles