The Hindu Business Line : Raymond plans Rs 197-cr expansion

The company is set to undertake a Rs 197-crore project envisaging expansion of its production capacity of worsted suiting at its Vapi unit in Gujarat by three million metres per annum. This would be an integrated facility starting from spinning to finishing of fabric and is expected to go on stream from April next year, the company announced.

The first phase of expansion announced last year is likely to start commercial production shortly as per planned schedule. After this expansion, the company would have a total capacity for worsted suiting of 31 million metres per annum, which would be one of the largest integrated manufacturing facilities for worsted suiting in the world, the company claimed.

The announcement comes at a time when the textile industry in India is going through a buoyant phase. The textile division of Raymond has recorded revenue of Rs 612 crore for the nine months ended December 2005, a growth of 12 per cent over the corresponding period of previous year.

One-stop-shop

The suits and trousers manufacturing facility set up by the company as part of its strategy to be a one-stop-shop is already operational and large portion of the export growth in the business is likely to come through this route.

Announcing the expansion in a notice to BSE, Mr Gautam Hari Singhania, CMD of the company, said, "The company is moving forward as planned along the path of becoming a world class integrated textile player through putting up world class manufacturing capacity and partnerships with internationally well reputed players."

The company also informed BSE that Mr I.D. Agarwal ceased to be a director of the company, consequent upon the withdrawal of his nomination by UTI Asset Management Co Pvt Ltd.

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