Hyderabad, July 28 (UNI) A Rs 100 crore Jute Park, with a potential to attract investment to the tune of Rs 500 crore, would soon come up at Sabbavaram mandal of Visakhapatnam district, Andhra Pradesh Jute Development Centre (APJDC) Vice-Chairman and Managing Director B V Rama Rao said here today.
Addressing a press conference here, he said the park spread over 150-acre land would be one of the six to be established in the country as part of the Union Textiles Ministry's decision to promote jute diversified products.
Mr Rao said the Ministry would provide a grant of Rs 40 crore for the development of infrastructure facilities like laying roads, constructing a compound wall, office building, training centre, raw material and finished product godowns, provision of water, drainage and electricity facilities in the park.
Stating that the Centre would also provide 20 per cent investment subsidy on plant and machinery, he said the state government would supply power at the subsidised rate of 70 paise per unit.
He said the APJDC would provide six months training in production of jute diversified products to prospective entrepreneurs and facilitate financial assistance through banks, arrange to supply raw material and marketing of finished products both in India and abroad.
Mr Rao said the jute park had the potential to generate direct and indirect employment to nearly 20,000 people.
He said the APJDC was planning to organise awareness camps all over the state to promote jute (mesta or gogu nara) cultivation and establishment of jute industrial units. The camps would be attended by farmers, industrialists and prospective entrepreneurs and addressed by higher officials of both the Union and State governments from the departments of textiles, industry and agriculture.
Mr Rao said the first camp would be held at Srikakulam on August nine, followed by one in Vizianagaram on August 12 and Eluru in West Godavari district on August 14.
There were 116 jute industrial units in the country, of which 29 were in Andhra Pradesh.
Stating that there was tremendous demand for jute diversified products in countries like the US, Germany, Italy and Belgium, he said the country had exported jute diversified products worth Rs 900 crore last year.
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