Ki­tex Gar­ments to Start Ba­bies Wear Unit in Kar­nataka

Perfect Sourcing - - India News -

Ker­ala based Ki­tex Gar­ments has got the ap­proval to start gar­ments unit from the Kar­nataka gov­ern­ment and has ear­marked around Rs 500 crore to set up the ready-made gar­ments unit in Has­san Kar­nataka. How­ever, the ap­proval from the gov­ern­ment has put Ki­tex into a dilemma as it also has the ap­proval from an­other state Andhra Pradesh which has of­fered tax ben­e­fits, free land and cheaper power to the com­pany. The com­pany has al­ready stated that it will come up with a man­u­fac­tur­ing unit at Kochi this year and the de­ci­sion on the sec­ond unit is likely to be taken in the com­ing months de­pend­ing on the fea­si­bil­ity of the unit.

In Andhra Pradesh the cost of power which is of­fered is at Rs 1 per unit as com­pared to Rs 7 of­fered by Kar­nataka. The com­pany plans to start com­mer­cial pro­duc­tion by March 2019. Ini­tially, the unit will have ca­pac­ity of 1,500 to 2,000 peo­ple. In Phase 1, it will pro­duce up to 2-lakh pieces of ba­bies wear and af­ter that, it will ex­pand and in­tend to com­plete the ex­pan­sion by 2021.

Ki­tex pro­duces 6.5 lakh pieces of fin­ished gar­ments per day, tar­geted at in­fants to ba­bies up to the age of 24 months it ex­ports about 95% cent of in­fant wear to the United States and the rest to Europe. The com­pany also en­gages in con­tract man­u­fac­tur­ing for pri­vate la­bels such as Jockey, Carter, Ba­bies R Us, Ger­ber and Mother­care. Ki­tex Gar­ments, the world’s third largest sup­plier of in­fant wear has 9,000-strong work­force.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.