Sutlej Textiles and Industries Ltd. is setting up a greenfield project to manufacture polyester staple fibre by recycling of pet bottles at Samba in Jammu & Kashmir. The company is setting up a recycled PSF plant of 80 MT/day capacity with product range of raw white recycle fibre & black recycle fibre. The project costing Rs. 110 crores is expected to be completed by the second quarter of 2020.
Sutlej has also invested around Rs. 51 crores in the first nine months of 2018-19 towards technology upgradation and debottlenecking. This will result in further improvement in efficiency and sustaining plant utilization.
The company has already commenced commercial production of 35,280 spindles at Bhawanimandi in Rajasthan at a project cost of Rs. 270 crores. This will be a dedicated capacity focused towards producing value-added cotton and cotton-blended dyed and mélange yarn.
As part of the company’s strategy to enhance its presence in the home textiles business, Sutlej acquired the Design, Sales and Distribution (DS&D) business along with brands of America Silk Mills LLC (ASM). The acquisition will increase its footprint in the US market and will the add the strength of ASM to its home textile portfolio.
Sutlej clocked a turnover of Rs. 1,877 crores in the first nine months, a growth of 12 per cent over the previous year. Mr. C.S. Nopany, Executive Chairman, Sutlej Textiles and Industries Ltd., said: “The challenging business environment continued in Q3 FY18 due to subdued demand. Margins were under pressure on account of the increased cost of raw materials, appreciation of the rupee and reduction in export incentives. I am hopeful that our diversified portfolio of value-added products should enable us to deliver better performance once the demand normalizes”.