Bhubaneswar, Nov. 3: A gems and jewellery industrial park will come up at Ramadaspur in Cuttack district at a cost of Rs 685 crore, which will be spent over a period of seven years.

This will be the state's maiden private industrial park.

The park will provide an added thrust to the export-oriented gems and jewellery sector in east India in general, and Odisha in particular.

The proposed components in the park include precious and semi-precious gemstones, diamond cutting, diamond polishing, designing of gold, silver, platinum and diamond jewelleries, manufacturing of the jewellery, manufacturing of fashion jewellery and lifestyle products, retail centres and export houses.

The project was accorded on-principle approval by a state-level committee headed by chief secretary Aditya Prasad Padhi yesterday evening.

The initiative taken by the government is seen as a prelude to the upcoming three-day Make in Odisha conclave due to begin from this month end.

The approval followed a proposal given by Gitanjali Gems Limited to the state government during Make in India week in Mumbai in February. Gitanjali Gems Limited has offered to act as the anchor investor.

The company has proposed to bring its associates and promoters such as Asmi, Nakshatra, GILI, Sangini, Nirvana, Kairana, Valente and Viola to the park.

In May, the state had cleared a proposal from Gitanjali for the establishment of a gem and jewellery unit in the state.

However, enthused by the first of its kind policy offered by the state government under the Industrial Policy 2015 to set up a private industrial estate, the company later submitted a fresh proposal for setting up a private industrial estate.

The project envisaged a total investment of Rs 685 crore in three phases. The first phase investment will be around Rs 209 crore. An estimated Rs 129.5 crore will be spent on infrastructure development, which includes establishment of common facility centres. The park will need 100 acres and 300 megawatt power, while the water requirement will be around 300 cubic metre per day.

The project envisaged creating jobs for around 16,000 people in three phases out of which 4,000 will be engaged in the first phase. Gitanjali Gems Ltd. has proposed investing in sector-specific skill development initiatives to enhance employability.

Chief secretary Padhi advised the promoter to establish such type of industries in the park that would create more employment opportunities for women and handicapped persons.

The project approval committee advised the project proponent to submit the detailed project report within six months, said official sources.