Krishna Knitwear acquires unit in Tirupur

Mumbai, Mar 14: Krishna Knitwear Technology Limited (KKTL) has acquired a knitwear production plant in Tirupur to enlarge its production capacity mainly in high-end garments for exports.

KKTL has taken over the garment unit, aagam design and embroidery, located in Tirupur. The unit, acquired from West coast group was supplying high-valued garments for major global retailers such as Walmart, Reebok and Mothercare.

Krishna Knitwear Technology's Chairman Sanjay Kumar Tayal here today stated in a release, ''With textile outsourcing emerging as a big opportunity after the dismantling of the quota regime, we are now focusing on garment exports as we are getting lot of orders so we decided to make Tirupur our garmenting hub. The means of finance is being worked out and we plan to take benefit of the Textile Upgradation Fund Scheme (TUFS) of the Government of India.'' ''We have decided to double the production from the Tirupur unit, from the present two million pieces to four million pieces a year. To facilitate the capacity increase, Krishna Knitwear is scaling up the facility in Tirupur plant by building an additional 40,000 sq ft,'' Mr Tayal stated.

Other than this, KKTL is implementing a Rs 600 crore expansion to increase spinning, knitting and processing units. The company is raising its spinning capacity to three lakh spindles, knitting capacity to 50,000 tonnes per annum (tpa) and processing capacity to 50,000 TPA.

The company has achieved net sales of Rs 1,110.17 crore during the 12 months ended March 31 last year as against a net sale of Rs 989.22 crore during the previous year. The company is also looking at an increase in its exports business from Rs 55 crore last year to Rs 105 crore in FY 2005-06, the release added.

UNI