Sun May 18 17:16:26 UTC 2025: **Summary:**
India’s first International Furniture Park in Thoothukudi, launched three years ago, is facing challenges. Despite its large area and ambitious goals, only three companies have set up factories due to infrastructure issues and lack of specific services. One firm is operational, but investors are concerned about the slow pace and lack of essential facilities. Concerns were raised about lack of promotion from the government.
**News Article:**
**Thoothukudi Furniture Park Struggles to Attract Investors Three Years After Launch**
**THOOTHUKUDI, May 18, 2025** – India’s first International Furniture Park in Thoothukudi is facing hurdles in attracting investors, three years after its grand launch. The ambitious project, spanning 1,150 acres within the SIPCOT industrial area, has seen limited uptake, with only three companies currently operating or under construction.
The park, envisioned to attract ₹4,500 crore in investment and create 3.5 lakh jobs, has struggled due to infrastructure challenges and the absence of specific services, according to investors. Currently, only Crest Lashing and Packaging Private Limited, specializing in wooden furniture and packaging, has commenced production.
M.V. Venaktesan, Managing Director of Crest Lashing, highlighted the need for increased government promotion and addressed teething issues with securing electricity and water connections, alongside lack of drainage. He stated there has been delay in promoting the site to support its full-scale development.
Industry experts also express concern over the park’s viability. Prasad, a local furniture importer, pointed out that imports are cheaper, impacting the competitiveness of locally produced furniture. Concerns have also been raised about the need for better infrastructure and facilities, with P. Kathirvel of INTUC citing cheaper imports from China and Indonesia impacting viability.
Despite the challenges, a SIPCOT official in Thoothukudi assured that efforts are underway to improve electricity and water facilities. The official confirmed that 12 acres has been allocated to build a substation and the water facilities will be in place within a few months, adding that the government has been taking measures to promote the park.
The future success of the Thoothukudi Furniture Park remains uncertain as it navigates infrastructure gaps and market competitiveness.