The Union Government has sanctioned Rs. 200 crores to the Tirupur dyeing industry which was on the verge of closure due to severe financial crisis on account of its huge investments in the first-ever zero liquid discharge (ZLD) projects in the country.
The Government, having fully realised the seriousness of the problem of the dyeing industry in Tirupur, has sanctioned Rs. 200 crores to the Tamil Nadu Government for the 18 CETPs as an interest-free loan to be converted into grant based on the performance of the CETPs.
The move will help the ailing CETPs and 450 dyeing units to recover from the financial crisis and help them complete the project to achieve 100 per cent capacity utilization.
More than 450 dyeing units in Tirupur had collectively set up 18 ZLD-enabled common effluent plants (CETPs) at a total cost of Rs. 1,013 crores. The project has become a global standard well appreciated by the environmentalist and processing industry the world over. However, being the first project of its kind, it had several technical challenges and cost overrun which put them into a financial crisis due to outstanding bank loans and incomplete projects.
Tirupur is a hub of the textile processing and knitting industry providing employment to over five lakh persons and contributing 22 per cent of the total garment exports from the country. Closure of the processing industry could have hit the entire garmenting sector in the region.