Tamil Nadu has inaugurated two new mini textile parks in Karur district as part of its strategy to strengthen the State’s textile manufacturing ecosystem and support micro, small and medium enterprises (MSMEs).

The parks, located at Kodangipatti within the Karur Municipal Corporation limits and Uppidamangalam, were inaugurated by M. Vijay Balaji, Minister for Handlooms, Textiles and Khadi.

The newly inaugurated facilities are among the eight mini textile parks sanctioned for Karur district, while two such parks are already operational in the district. Across Tamil Nadu, the Government has sanctioned 19 mini textile parks under the scheme aimed at developing modern textile infrastructure in cluster-based manufacturing locations.

The initiative seeks to reinforce Tamil Nadu’s position as one of India’s leading textile and apparel manufacturing hubs by providing common infrastructure to MSMEs and textile entrepreneurs. Under the scheme, the State offers financial assistance of up to 50% of the eligible project cost, subject to a maximum subsidy of Rs 2.50 crore (US $262,000) per project, to establish modern production facilities.

One of the newly inaugurated parks at Kodangipatti has been developed at a project cost of Rs 5.57 crore (US $584,000). The facility has been designed to provide shared industrial infrastructure, enabling smaller textile units to improve operational efficiency, expand production capacity and execute larger domestic and export orders. 

The cluster model is also expected to lower logistics and infrastructure costs while enhancing productivity for local manufacturers.

Karur is a major textile manufacturing centre, particularly known for its home textile exports, handloom products and powerloom-based furnishing textiles. By creating common production facilities, the mini textile parks are expected to help MSMEs overcome challenges such as fragmented manufacturing, rising input costs and limited access to modern infrastructure.