NTC restructures Rajnagar Textile Mills

Ahmedabad, Aug 2 (UNI) Union Textile Minister Shankarsinh Vaghela today said the Union Finance Ministry has cleared his ministry's proposed package of Rs 550 crore for reviving 18 sick mills undertaken by the National Textile Corporation Limited (NTC).

Addressing the workers after the foundation stone laying function, organised for restructuring of sick 'Rajnagar Textile Mills' (RTM), located in Asarwa area of the city, Mr Vaghela said ''This mill, which is a part of the new package, will be revived at a cost of Rs 122 crore with setting up state-of-art textile machinery.'' He said the RTM will provide direct employment to over 750 employees, besides, indirect employment opportunities to over 3,000 people. It will become operational by May next year.

Under the restructuring capacity, the RTM will produce 14,739 kg of best quality yarn per day and clothes production of 35,600 meters per day. Its turn over is estimated at around Rs 109.34 crore, with annual gross profit on average of Rs 22.15 crore, the Minister said.

He said of the total 18 sick mills marked for revival under the new package, 10 textile mills are in Gujarat. Of these, 7 are located in Ahmedabad, while one each in Petlad, Viramgam and Bhavnagar towns of Gujarat.

The 18 textile mills covered under revival package have also been covered under the Technology Upgradation Scheme of the Union Textile Ministry, Mr Vaghela added.

UNI