Chandigarh, Feb 2 (PTI) Ludhiana-based textile group SELtoday said it plans to invest Rs 900 crore for setting up anew spinning facility in Punjab even as the ongoing expansionin other states would start adding to its topline from nextyear.
"We have planned to set up a state-of-the-art yarnspinning unit at an estimated investment of Rs 900 crore inPunjab�currently we are looking for a suitable location forthe plant and we want to have it near cotton growing areas ofthe state," SEL Executive Director and CEO VK Goyal said.The capacity of this new plant will be 2,10,000 spindlesand it will be the largest spinning plant at a single locationin Punjab, which will generate a direct employment for over2,500 and indirect employment for about 15,000 people, Goyalsaid.
"It is expected to be commissioned next year," he said.
The company is already undertaking a massive expansionplan in Madhya Pradesh, Rajasthan and Haryana with capitalexpenditure of Rs 2,100 crore.
"The new plant at MP will have an installed capacity of4 lakh spindles while 60,000 spindles will come up atNeemrana(Rajasthan) and Hansi in Haryana," he said, addingthat they would be commissioned before June 2011.
At present the group has a yarn spinning capacity ofover 2 lakh spindles producing about 150 tonnes of cotton,blended and speciality yarns per day.
It also plans to expand the capacity of its toweldivision from 45 tonne per day to 100 tonne per day with anestimated investment of Rs 200 crore in Punjab in the next oneyear.
SEL supplies towel to USA, Europe, Japan and many othermarkets across the globe.
The company is aiming a turnover of Rs 1,600 crore bythe end of the current fiscal against Rs 983 crore in 2009-10.