Textile panel suggests cluster plan for SMEs

The textiles committee of the Union textiles ministry has organised a workshop on "Networking Strategies for Development of Textile SMEs (small and medium enterprises) at Surat" here on October 20.

The workshop, divided into four technical sessions, aims to help tackle problems faced by small and medium sized textile units in the region.

Surat is the only Gujarat city among the 19 clusters identified in the country for conducting such workshops. The workshop in the city will be inaugurated by state industries secretary Amarjeet Singh.

Southern Gujarat Chamber of Commerce and Industry (SGCCI) president Ashok Shah said SMEs, which form the backbone of the Indian textile industry, must gear up to sustain and enlarge their global as well as domestic market shares in view of the economic liberalisation and globalisation of trade.

"The phasing out of quotas by 2004 will pose opportunities as well as threats for textile units. An innovative and integrated strategy for the development of SMEs is needed to convert the threats into opportunities," Shah said.

According to an official statement of the textile committee, with the objective of ensuring collective efficiency of textile SMEs in improving their business processes and support systems, the committee has launched a cluster based developed programme in 19 clusters across the country. Networking of stakeholders in the cluster is the core theme of this programme.

Textile SMEs located in identifiable clusters in India face several common problems: lack of technology upgradation, inadequate capacity to source raw materials and market products, inability to avail institutional credit, absence of product innovation and diversification, and inadequacies in the area of infrastructure.