Leading textile exporter, Abhishek Industries Limited plans to double its spinning capacity with a view to meet the growing demand for its products, primarily terry towels, in the international markets.
A new spinning-cum-textile facility is being set up at Budni in Madhya Pradesh envisaging an outlay of Rs 950 crore. The facility is scheduled to be commissioned by March 2009. The funds will be generated by internal accruals and term loans.
“The new facility will provide us economies of scale and help in catering to the captive consumption by our textile division as well as the niche markets in India and abroad for maximum value addition”, said Rajinder Gupta, CEO and managing director, Abhishek Industries.
The Madhya Pradesh unit will support 1,08,000 spindles and 400 looms. At present the company has a facility of 1,25,952 spindles at Barnala in Punjab which is the largest spindlage in India at one campus location. The new facility will help the company nearly double its yarn capacity to 2,33,952 spindles. The total production of yarn after expansion will be 180 tonnes per day placing the company amongst the top three yarn manufacturers
in India.
The new yarn facility will be geared towards value-added yarns and will cater to the emerging demand for finer counts of cotton. The product portfolio of Trident yarn consists of combed, carded, open-end yarns in 100% cotton, and cotton blends. Besides a new yarn facility, the company is setting up a wide width sheeting plant with 400 looms and an installed capacity of producing 1,00,000 metres per day.