Ganesh Polytex hopes to reach Rs 100-cr turnover

Kanpur-based Ganesh Polytex, manufacturer of dyed-polyester yarn and regenerated-polyester fiber, is estimating to reach a turnover of Rs 100 crore in the present fiscal. The company has reached a turnover of Rs 48 crore in the first half of the fiscal.

Established in 1989, the company was in doldrums in the closing years of the past decade when textile crisis hit the industry in general. The company is now backing in the black.

In the second quarter its sales went up to Rs 25.13 crore against a sale of Rs 13 crore in the corresponding period last year, while the profit before tax went up to Rs 58.51 lakh from Rs 35.83 lakh.

Its 7,200 tonnes per annum (tpa) capacity plant at Rudrapur in Uttaranchal went on stream in February.

The company also modernised its fiber and yarn plants in Kanpur. The total capacity of the regenerated polyster fabric is 15,000 tpa and that of yarn is 2,400 tpa.

Similarly, the company's exports have gone up to Rs 18 crore in the first half this fiscal against Rs 9 crore in the corresponding period last fiscal.

Asked if the exports have been affected due to rise in the value of rupee, Gopal Agarwal, chief financial officer of the company, said that the company signed contracts only two months in advance on current prices.

The company's yarn is basically sold in the saree market and the fiber in the non-woven textile sector like quilts, soft toys, pillows, mattresses, furniture, carpets, housing and spinning.

The company is planning a further expansion to 30,000 tpa at Kanpur and Rudrapur, taking its established capacity to 15,000 each at both Kanpur and Rudrapur units.

"There is plenty of market for the regenerated fiber in the non-woven sector. We shall shortly be expanding into technical textile, medical textiles, diapers, wipes, geo-textile for use in constructions, road and buildings for absorbing shocks," Agarwal said.

"In Europe the fiber market is equally shared between textile and non-woven textile but in India it is 10 per cent for the latter and 90 per cent for the textile sector. The market in India of non-woven textile has just started and our company wants to grab this opportunity," he added.

The company's paid up capital is Rs 9.36 crore and reserves stand at Rs 8.25 crore.