New Delhi, Sept. 1
TT Ltd, manufacturers of cotton yarn, fabric and garments, is investing Rs 121 crore for the expansion of its Gajroula (Uttar Pradesh) and Avinashi (Tamil Nadu) plants, and setting up a new spinning plant at Gondal (Gujarat).
The company plans to increase the installed capacity at its Gajroula plant from 15,000 spindles to 33,000.
The expansion would cost the company Rs 39 crore.
It also plans to set up a furnace-oil based co-gen power plant of capacity 2.5 MW at the facility, at Rs 7 crore.
It is also planning to set up a ginning and spinning facility at Gondal with an installed capacity of 25,000 spindles for the manufacture of cotton yarn at a cost of Rs 62 crore.
The objective of setting up the plant is to avoid transportation of raw cotton from Gujarat to its Gajroula plant and then transporting the yarn and fabrics back to Kandla and Mudra ports in Gujarat, from where the company carries out its exports.
On the cards is a wind power plant with a capacity of 2.5 MW at its Avinashi facility.
The power produced at this power plant would be used by the spinning facility at Avinashi itself. The cost of setting up this plant is Rs 13 crore.
Mr R.C. Jain, Chief Managing Director, "The company plans to finance the expansion through internal accruals, debt and equity capital."