The Gujarat government, which is awaiting the Centre's approval for the draft Industrial Park Act, 2003, has decided to set up six industrial parks across the state in the next two years. Three of these will be exclusively gem and jewellery parks, while the remaining will be devoted to the textile industry.

The state government plans to implement the liberal Labour Reforms Act chalked out for special economic zones in these industrial parks. The Act gives protection to the industries from labour unrests and subsequent hassles.

"We are planning to set up at least three apparel parks in Gujarat in the next two years. Two of these have already been finalised -- one of them is going to be operational in the next two months," principal secretary (industries and mines), D Rajagopalan, said.

Construction of the apparel park on the outskirts of Surat city is almost ready and the Gujarat Industrial Development Corporation has been made responsible for its operations. The government has already pumped in Rs 58 crore (Rs 580 million) in the apparel park and further investments are expected to be made by the GIDC in the next one year.

GIDC has also decided to set up an apparel park at the recently acquired land and immovable property of Ambica Mills in Ahmedabad. Sources in the state industries department said the apparel park in Ahmedabad, which will also be operated by GIDC, will cost Rs 70-75 crore (Rs 700-750 million) and will be ready by the end of 2005.

"It will bring all the small and medium unorganised textile markets under one umbrella," said the source.

The state government is also open to offers from corporates for setting up industrial parks in Gujarat.

"We are trying to bring in private investment from various companies which can invest in industrial parks and discussions are on with Arvind Mills for an apparel park in Ahmedabad," Rajagopalan pointed out.

However, a senior official of Arvind Mills said: "We are not very interested in setting up the apparel park, though we are still working on the proposal of the state government." It has been reliably learnt that if Arvind Mills finally refuses the government proposal, the state may put a similar request to Ashima Textiles.

The state government also plans to set up a textile park in Jetpur, a centre of saree printing.

The Gujarat government has also finalised a proposal for setting up three gem and jewellery parks in the state in the next two years. The first one, to be located in Surat, will be operational mid-way into the next year.

"Besides the industrial park in Surat, which will house the maximum number of diamond cutting and polishing units, we are coming up with two more gem and jewellery parks in Ahmedabad and Bhavnagar. We expect both the parks to be ready by December, 2005 and have earmarked substantial funds for these two parks," said Rajagopalan.

In addition to these six industrial parks, a biotech park is also being set up on the outskirts of Vadodara city. It is expected to be operational by the second half of the next calendar year.

Proposals have also been mooted to set up a modern industrial park in Dahej in next five years.

"We expect at least eight industrial parks to be operational in the state in next three years," added Rajagopalan.