in Tamil Nadu · Part 2

– Liberalization Phase The final phase of industrialisation is the post-reforms period since the early 1990s. The reforms made the state governments more responsible for resource mobilisation and they were forced to compete with each other to attract private investments for industrialisation. Incentives such as cheap land, tax concessions and subsidised but quality power were all offered to woo investors. Trade liberalisation and currency devaluation also helped open up export markets. This led to two major developments. The important industries in the state that evolved over a much longer period include sugar, fertilizers, cement, agricultural implements, iron and steel, chemicals, transformers and paper. - - . . AM - - . . AM Industrial Clusters in Tamil Nadu It accounts for nearly % of the country's cotton knitwear exports and generates employment in the range of over three lakh people since the late 1980s. It is also a major producer for the domestic market. Because of its success in the global market, it is seen as one of the most dynamic clusters in the Global South. While initially, most firms were run by local entrepreneurs, at present, some of the leading garment exporters in India have set up factories here. were previous employees in a big firm involved in body building who came out to set up their own units. Textile Clusters Tamil Nadu is home to the largest textiles sector in the country. Because of the development of cotton textile industry since the colonial period, Coimbatore often referred as the "Manchester of South India". At present, most of the spinning mills have moved around the Coimbatore city. Tamil Nadu is the biggest producer of cotton yarn in the country. Powerloom, however, is more widespread with Erode and Salem region too having a large number of power loom units. Tiruppur is famous for clustering of a large number of firms producing cotton knitwear. Tiruvallur Chennai Kanchipuram Salem Namakkal Erode Karur Truchirappalli Virudunagar Madurai Coimbatore Vellore E W N S Not to Scale Tiruppur (Sivakasi) (Hosur) Automotive Industrial Clusters in Tamil Nadu Automotive, Electronics & IT Leather Silk Sarees Automotive