The Hindu : Business : Best group to double capacity

Online edition of India's National Newspaper
Tuesday, Jun 28, 2005

Business

Business

Best group to double capacity

M. Gunasekaran

Invests RS. 150 crore; plans to tap the market

TIRUPUR: In order to double its capacity to meet the orders in the quota-free textiles regime, the Tirupur-based export house, the Best group of companies, has invested Rs. 150 crore to have a composite unit of spinning, knitting, dyeing and garmenting.

The new company, RRD Tex Private Limited, promoted by the Best group, will have its spinning and knitting divisions at Kundadam, near Dharapuram, dyeing unit at Perundurai, garmenting at Netaji Apparel Park at New Tirupur and wind power generation mills in Kanyakumari district.

According to its Managing Director, R. Rajkumar, the spinning and knitting divisions will be ready in August and the remaining will come into operation by March 2006.

The group's turnover last year was Rs. 150 crore and it was targeting a turnover of Rs. 225 crore this year.

"We have good enquiries now and we lose many orders due to lack of capacity. With all our new units coming into existence, our export turnover will touch Rs. 300 crore in 2006-07,'' Mr. Rajkumar hoped.

While the upcoming spinning mills have 40,000 spindles, knitting will have 40 state-of-the-art machinery. The dyeing factory at Perundurai SIPCOT complex will have a capacity of handling five tonnes of fabric a day.

The wind power generation unit would have a capacity of 10 MW. With 750 sewing machines, the garmenting division at the Netaji Apparel Park would provide employment to 1,250 people, Mr. Rajkumar said. The company would generate employment for 1,600 people in all its new plants.

The Best group is planning to go in for a public issue by 2008, Mr. Rajkumar added.

Printer friendly page
Send this article to Friends by E-Mail

Business