TN luring Kitex to invest in their state

With the news ofKerala Governmentofficials continually harassingKitex Garments, a leading supplier of childrenswear to Europe and the US, spreads outside the boundaries of Kerala, Nadu Government has made a swift move by inviting the firm with a bouquet of benefits.

A forty per cent subsidy on the total Investment and land at half the price are the major attractions offered by the TN government toKitexGroup. Full waiver on the stamp duty, five per cent interest subvention for the initial six years, 25% subsidy on environmental protection facility, and 50% subsidy on Intellectual Property Rights protection are included in the incentives, said Sabu M Jacob, chairman, Kitex Group.

Apart from this, TN government will be bearing 20% of the employee cost for up to 10 years, says the document sent by Gaurav Daga, Associate Vice President of Guidance Tamil Nadu, the industrial promotional arm of the TN government. Guidance Tamil Nadu has sought a personal meeting with Jacob, next week, to discuss the offerings.Dagahas extended the offers after discussions with Industries Minister and Principal Secretary-Industries of TN government.

Other notable incentives TN has offered to Kitex include: Electricity at subsidized rate for five years, 100% waiver on State GST charges on capital assets, Rs 4,000 each for employee training and Rs 6,000 each for training of employees from SC/ST communities, and 50% subsidy for quality assurance certification charges.