A one-time leader in polyester sarees and dress materials under the brand name Garden Vareli, the textile company is now focusing on yarn and chips, demand for which has risen in domestic and global markets. Garden Silk Mills will invest Rs 350 crore for the expansion, said a company official.
According to the capex plan, Garden Silk Mills will double the existing capacities of 700 tonnes per day of polyester chips, 300 tonnes per day of partially oriented yarn (POY) and 120 tonnes per day of polyester textured yarn (PTY).
The company will increase the share of exports in its total turnover from 5-10 per cent to 30-40 per cent, the official added. Currently, polyester yarn and chips form 95 per cent of the company's total production. Garden Silk also manufactures filament yarn.
Meanwhile, the company has decided to maintain a status quo in the capacity of polyester fabric and finished products such as sarees and dress materials at 50 lakh metres per month and 25 lakh metres per month, respectively.
Post-expansion, Garden Silk Mills is expecting its turnover to rise significantly from over Rs 400 crore that the company registered in the financial year 2007-08.
