Panapakkam’s leather industry benefits from several initiatives aimed at promoting entrepreneurship and fostering growth:
1. Establishment of the Mega Leather, Footwear, and Accessories Cluster (MLFAC) Industrial Park:
- Infrastructure Development: The Tamil Nadu government has initiated the development of a 250-acre footwear manufacturing park in Panapakkam, Ranipet district, with an investment of ₹400 crore. This facility is designed to provide state-of-the-art infrastructure, enabling entrepreneurs to establish and expand their businesses within a supportive environment.
2. Tamil Nadu Footwear and Leather Products Policy 2022:
- Investment Incentives: The policy aims to attract ₹20,000 crore in investments by 2025, creating employment opportunities for 200,000 individuals. It offers various incentives to micro, small, and medium enterprises (MSMEs) in the leather sector, encouraging entrepreneurial ventures.
3. Special Capital Subsidy for Thrust Sector Enterprises:
- Financial Support: The Tamil Nadu government provides a 15% capital subsidy on eligible plant and machinery for enterprises in thrust sectors, including leather and leather goods. This subsidy aims to reduce the initial capital burden on entrepreneurs, facilitating business establishment and growth.
4. Entrepreneur Development Scheme by TamilNadu Industrial Investment Corporation (TIIC):
- Comprehensive Assistance: This scheme offers financial assistance to both new and existing entrepreneurs in the leather sector. It includes provisions for additional capital subsidies from schemes operated by agencies not controlled by the Tamil Nadu government, such as the Credit Linked Capital Subsidy Scheme (CLCSS) of the Union Government.
5. Public-Private Partnerships (PPP) for Industrial Parks:
- Collaborative Development: The government plans to establish industrial parks on 50-acre lands for the leather and footwear industries through PPP models. This initiative aims to create a conducive ecosystem for entrepreneurs by leveraging both public resources and private expertise.
These initiatives collectively create a favorable environment for entrepreneurship in Panapakkam’s leather industry, providing necessary infrastructure, financial incentives, and policy support to encourage the establishment and growth of new enterprises.
