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Suryalata Spinning Mills plans capacity expansion

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Announcement Corporate
Last Updated : Jan 21 2013 | 5:24 AM IST

Hyderabad based and listed on the BSE, Suryalata Spinning Mills Limited (SLSML) is increasing the capacity of its blended yarn spinning to 200,000 spindles in the next couple of years.

As a first step, the company is launching a new Bay of manufacturing line with 35000 spindles at Urukondapet, near Hyderabad at an average estimated cost of Rs.25000/per spindle. 

The company is also setting up a 10 MW Thermal (Coal based) Power plant for captive consumption at an estimated cost of about Rs. 45 crores which would kick in cost efficiencies and improved margins.

SLSML has been continuously expanding its manufacturing capacities by adding 42888 spindles during past five years through internal accruals, promoters funding and loans from financial institutions .

Commenting on the expansion plans, the Joint Managing Director of the company, Mr M.K.Agarwal said    “In India, present yarn consumption pattern is 60% cotton and 40% synthetic and in the world it is vice versa i.e   40% cotton and 60% synthetic. Consumption of synthetic yarn is increasing in India and expecting in line to world consumption pattern in the years to come. It provides growth opportunities to synthetic industry and we are focusing only on spinning of synthetic blended yarns.  

The company also plans to achieve the expansion plan partly by way of infusion of equity capital, internal accruals, raising of funds thru Investors and partly by way of debt”.

About Suryalata Spinning Mills Limited.
Hyderabad based and listed on the BSE, Suryalata Spinning Mills Limited (SLSML) was established in 1983 and is one of the largest producers of Yarn, manufacturing 100% Polyester and 100% Viscose yarn of counts ranging from 20s to 60s as well as Polyester / Viscose blended yarns. The promoters of SLSML are veterans in the textile business and they carry a vast knowledge & experience of over 50 years in the Textile Industry. 

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The Company has two manufacturing units located at Kalwakurthy and Urkondapet in the district of Mahbubnagar Andhra Pradesh, which is about 100 kms from Hyderabad. The Kalwakurthy unit is spread over 34 acres of land has an installed capacity of 36288 spindled whereas the Urkondapet unit is spread over 60 acres of land having a manufacturing capacity of 35136 spindles making a total of 71424 spindles as a whole.

The Company provides world-class quality yarn at a competitive price to cater to the domestic as well as international markets. It has over the years built and maintained long-term relationship with customers on account of its excellent service thereby ensuring steady performance year on year. Besides having a wide spread domestic presence, the Company also has developed a good market network overseas and presently exports its products to various countries viz. Brazil, Argentina, Iran, Italy, Spain, Portugal, UK, Turkey, Taiwan, and Latin American Countries.

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First Published: Oct 06 2010 | 7:01 PM IST

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