Punjab-based Trident, the flagship of Trident Group, and the leading manufacturer of terry towels, paper, yarn and chemicals, has charted expansion plans to consolidate its global leadership. The board, in its meeting on Wednesday, approved an investment of Rs 1,667crore in textile expansion & diversification projects. The investment would be funded through a combination of debt, equity and internal accruals.
The proposed investment would enable the company to add additional capacity of cotton yarn, value-added yarn and to diversify into sheeting segment of home textiles in Budni, Madhya Pradesh. The company plans to start work on these projects by September, after its financial closure.
The expansion envisages installation of 1.76 lakh additional spindles and other balancing equipment to manufacture 38,802 tpa of additional cotton yarn of higher count and value-added varieties, to be implemented in a phased manner and will be fully operational by September 2015. After expansion, the production capacity of yarn will increase to 5.42 lakh spindles. To diversify product portfolio, the company plans to venture in manufacturing of bed sheets and pillow covers. With a capacity of 500 looms, it will manufacture 3.6 million metres of sheeting a month, which would be exported to Japan, Korea, Europe and West Asia, and will be operational by September 2015.
The company has emerged as one of the top terry towel manufacturers and wheat straw-based paper manufacturers in the world. It has capacity of 388 looms, manufactures 14.5 million pieces of towel a month, 3.66 lakh spindles and 3,584 rotors, manufactures 8,400 tonnes of cotton yarn a month, 15,000 tonnes of paper a month and 50 Mw of captive power.
The expansion would provide a base to increase its reach in south & east for raw material and sales of finished goods to utilize market conditions more efficiently and timely.
Commenting on the expansion plans, Rajinder Gupta, Chairman, Trident Group, said,"With this expansion programme, we plan to expand our markets to the countries which have been, till now, strong customer bases of competing nation's viz. China, Turkey & Pakistan. We also intend to improve our product offering as well as product pricing by selling towels and bed sheets together, thereby harnessing customers who could not be tapped erstwhile, due to non availability of complete range of home textile products."
After the proposed expansions under Trident Limited and Trident Corporation Limited, the production capacity of Trident Group would rise to 688 looms manufacturing 30 million pieces of towel/month, 500 looms manufacturing 3.6 million meters of sheeting/month, 5.42 lacs spindles & 3564 rotors manufacturing 12,000 tonnes of cotton & blended yarns/month and 110 MW of captive power. This will make Trident one of the Largest Integrated Home Textile manufacturing facilities in the world. Apart from being a renowned name in Home Textile Segment, the Company is alsothe leading wheat straw based paper manufacturer with a monthly production capacity of 15,000 tons of eco-friendly Paper.
