Kadri Mills to set up unit at Vizag

The company is likely to sign a memorandum of understanding (MoU) with the state government in a couple of days for setting up the textile unit.

"We are planning to execute the proposed project in three phases. We have earmarked Rs 40 crore and Rs 250 crore for the first and second phases of the project respectively. The first phase is likely to be completed in nine months from today," K Ramaswamy, managing director of Kadri Mills Limited, told Business Standard .

"The proposed project will be a vertically-integrated textile unit wherein yarn production, textile production, dying and readymade garment manufacturing activities would be carried out. In the first phase, we will manufacture knits and in the second phase the company will produce woven garments. In the third phase, terry towels of different shapes and sizes will be manufactured, and all the products will be exported to other countries," Ramaswamy said.

Ramaswamy said that the company was likely to generate employment for nearly 15,000 people in the proposed textile unit over the next five years.

"In the last fiscal, Kadri Mills registered a turnover of Rs 1,000 crore, of which exports contributed nearly Rs 300 crore," he said.

"The Kadri Mills' management has sought 150 acre of land in the Vizag Apparel Park for the proposed project, and the government has agreed to allot nearly 135 acre. The land allotted would be enough for the construction of the first phase. We can acquire the adjoining land to meet further requirements," B S Naidu, zonal manager of Andhra Pradesh Industrial Infrastructure Corporation (APIIC), told Business Standard .