Sintex to invest Rs 5500 cr on setting up textile plant in Guj

Gujarat-based Sintex Industries today said it will set up a textile processing plant near Pipavav port at an investment of Rs 5,500 crore by 2017-18.
"We would be investing Rs 5,500 crore to set up this project (textile processing plant), which is located 6 kms away from Pipavav port in Amreli district," Sintex Industries MD Amit Patel told reporters.
He was addressing the media after attending 'Intexcon -2014', an international seminar on textile industry, which was organised here as part of upcoming 'Vibrant Gujarat Summit-2015'.
"We intend to complete this project by 2017-18. We will be focusing on knitting, spinning and weaving of textile in this facility," he said, adding Sintex Industries has already been into textile business in Gujarat with one of their plants located in Kalol town near Gandhinagar.

The upcoming Pipavav unit will be the 10th plant of Sintex Industries in the country, and will be set up in phase-wise manner.
Patel also said that Pipavav plant will have one million spindles, 2,400 weaving machines and a capacity to churn out 600 tonne of knits.

"Phase-one of Pipavav textile processing plant will be operationalised by March-2015 and we will be adding one lakh spindles every two months and then finish the project till 2017-18," he said.
Patel said the plant will generate employment opportunities for around 8,000 persons and around 40 to 50 per cent of the employees will be women.

"We expect a turnover of Rs 9,000 to 10,000 crore for the company after the Pipavav plant will run at its full capacity," Patel said, adding that the company's turnover was Rs 6,400 crore during the last fiscal with the growth rate of 20 per cent.
"Products will not only range up to cotton but will also include multiple products like Polyester, Yarns, Viscos yarn, Lycra etc," Patel said, adding that 60 to 80 per cent of the products will be exported.
To a query, Patel said the state government's Textile Policy, announced in 2012, has encouraged the company to set up the plant in Gujarat.

"Besides, there is a huge opportunity globally in this sector, especially as the space is being vacated by China. In China, labour is getting costlier which is not the case in India. We also hold huge opportunities to process cotton into value-added products and maximise the revenue on per kg of cotton," Patel added.