The expansion and modernization project includes:
- Upgradation and enhancement of production capacity for yarn spinning
- Modernization of spinning facilities through installation/upgradation of machinery and equipment
- Expansion of Dye House capacity
- Strengthening of environmental infrastructure through augmentation of effluent recycling capacity
- Upgradation of the existing Effluent Treatment Plant (ETP)
- Improvement in sludge handling systems
The project, required under SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026, will increase:
- Spinning production capacity from 108,288 spindles to 110,352 spindles
- Dyeing capacity of yarn and fibre from 12,715 MT/year to 15,972 MT/year
Current capacity utilization stands at 93% for the spinning unit and 86% for the dyeing unit.
The capacity addition is expected to:
- Broaden the company's product portfolio
- Strengthen ability to attract more high-value buyers
- Secure new order volumes
- Help build long-term relationships with premium international/domestic brands
- Optimize operating costs
- Enhance environmental sustainability through effluent treatment investments
The estimated project cost is approximately ₹170 crores, to be funded through internal accruals and/or debt. The project is expected to be completed by March 31, 2028.
The Board meeting commenced at 11:00 AM and concluded at 1:00 PM on June 25, 2026.