Industrial Cluster Development Scheme:

An Industrial cluster is basically a local agglomeration of enterprises Micro, Small and Medium Enterprises , which are producing and selling a range of related and complementary products and services.

The primary objective of the cluster Development scheme is to improve international competitiveness of the domestic industry. The scheme aims to in pure the industrial clusters with high growth potential.

The following infrastructures are covered under CDP.

  1. Common Excellent Infrastructure Facility
  2. Common Testing Facility
  3. Strengthening of R&D Institutions

Funding pattern:

Government of India 75%

Stake holders 25%

District Industries Centre will act as implementing agency for identification and monitoring of Industrial Clusters.

In Madurai District 3 clusters had been identified namely

  1. Rubber Cluster
  2. CPS Milling Cluster
  3. Paper Machie Cluster

Rubber Cluster

After submission of diagnostic study report by ITCOT, the stake holders formed special purpose vehicle under title name of M/s. Rubber Park Madurai for establishing the cluster development project.

They have established one Raw Material bank at Virattipathu. This raw material depo will cater to the needs of Rubber Industry. Initially the stake holders invested Rs.5.00 lakhs in this depo and turn over expected is around 25 crores. No land is identified till now. Equity not yet mobilized for the Rubber Park so far.

Rubber Cluster: Raw Material Depot Formed in association with MADITSSIA.

Stake holders: 5 Lakhs

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CPS Milling Cluster

CPS Milling Cluster project had been sanctioned for the project cost of Rs. 39.96 crore by Government of India for the establishment of physical infrastructure I, II and III Bank contribution Rs. 3.99 Crore and the Association Member Constribution is Rs. 6.0 Crores. Now, the construction work is in at roof level. The project is under impletion stage and exepected to be completed before December 2008.

  • The project was sanctioned by Government of India under IIUS - 2003. The project has been implemented up to the expenditure of Rs. 23.62 Crores out of the total above expenditure. Government of India has disbursed grant of Rs. 17.91 Crores. SPV contributed an amount of Rs. 3.42 Crores and State Bank of India, Madurai has released an amount of Rs. 2.28 Crores.
  • The project will be completed and will be put in to commercial use with effect from 01.01.2009

Paper Machie Cluster

To organize group of artisans to take up activities for sustainable development at Vilacheri.


To upgrade the skills through training and appropriate designs and technology to produce items according to market need.

To provide adequate infrastructure supports for improved policy and productivity.

To provide increased marketing avenue

The 1st Phase was completed for Rs. 2.37 lakhs towards Skill training and Management training.

The proposal for design training under 2nd phase is in the pipe line at an estimated cost of Rs. 2.63 lakhs. Further Poombukar has sanctioned and allotted a sum of Rs.2.00 Lakhs as a first Installment for conducting 2nd phase of training. The training institution of SIPPO has taken steps for preparation of candidates for employment training.

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