Winsome to invest Rs 100 crore

The removal of quantitative restrictions in the global textiles market has unleashed a growth trajectory for Indian textile units.

Even mid-sized companies like Winsome Textiles, a Chandigarh-based firm, has been able to get greater access in the US and the European Union after the phasing out of the old quota system since January this year.

The company has earmarked an investment of Rs 100 crore for setting up a unit in Mohali. The company, which was earlier in the business of spinning and dyeing yarn, has now diversified into manufacturing knitwear.

"We will pump in the entire amount in a phased manner over the next five years," said Manish Bagrodia, managing director, Winsome Yarns Limited.

The pilot project, for making readymade fashion garments, has started in Mohali. Currently, the capacity of the Mohali unit is 15,000-20,000 garments a month, which would increase to 150,000-200,000 garments per month in five years.

To begin with, Winsome has started manufacturing for other leading brands like Wills Lifestyle and Madura Garments, but eventually it would roll out its own branded fashion garments.

"Brand building is a time-consuming process and so we might come out with our own brand after some time," said Bagrodia.

The interesting thing about the Bagrodia family is that it comes from Rajasthan, launched business in Calcutta (when it was not Kolkata), and shifted to Punjab because of better business prospects. The company has 10,000 spindles in Baddi (Himachal Pradesh) and has another unit at Derabassi (Punjab). Winsome is the largest producer of melange yarn in India.

Bagrodia told Business Standard the firm gives equal importance to the domestic and export market. According to him, 50 per cent of the production is for the export market. The major export destinations are the Far East and Europe, and of late the company has set its foot in the US market under the new WTO regime.

Bagrodia is quite optimistic about the outcome of Indo-Pak trade but feels that much needs to be done at the ground level to benefit the entrepreneurs based in Punjab. He was unhappy about the poor infrastructure in India.

He said adequate facilities at the airports, less congestion at the ports, a good transport system, and reforms in labour laws were imperative for the Indian textile units.