In a significant development, the Central government has recently given its approval to a cluster project aimed at supporting goldsmiths in the micro sector in Coimbatore. The project, initiated over five years ago, has received the green light, marking a crucial milestone for the local jewellery industry.

SM Kamala Hasan, a director of the Coimbatore Goldsmith Council, confirmed the approval, stating that the Central government has sanctioned a project worth ?15.30 crores. Speaking to The Hindu on Thursday, he revealed that the project aims to provide 20 different services to the gem and jewellery sector through a common facility to be established in Coimbatore.

The Coimbatore Goldsmith Council, a private not-for-profit company formed in 2018 with 60 members, has already invested ?2 crores in purchasing land and constructing a building. The State government is set to contribute 10% of the project cost as a subsidy for specific infrastructure works, while the remaining amount for machinery purchase will be provided by the Central government.

While the Council is ready to move forward, the pace of the project depends on the State government's timely release of the necessary funds, according to Mr. Hasan. As the State government is the implementing agency, the project's approval process, involving subsidies from both the Central and State governments, underwent thorough scrutiny at multiple levels.

Furthermore, the Coimbatore Goldsmith Council is slated to sign a Memorandum of Understanding with the Tamil Nadu government during the upcoming Global Investors Meet in Chennai. The council plans to invest ?70 crores in the project, benefiting approximately 6,000 micro units in the gem and jewellery sector.

The comprehensive range of services offered by the project includes certificate courses, testing, and more. With gold prices on the rise, the demand in the jewellery sector is robust. Mr. Hasan emphasized that the project is poised to benefit nearly 50,000 goldsmiths and workers in Coimbatore.