SV Pit­tie So­har plans $100mn fab­ric man­u­fac­tur­ing unit

Muscat Daily - - BUSINESS -

SV Pit­tie So­har Tex­tiles, which is set­ting up a US$300mn yarn man­u­fac­tur­ing fa­cil­ity at So­har Port and Free­zone, is also plan­ning to set up a for­ward in­te­gra­tion unit to man­u­fac­ture fab­rics with an in­vest­ment of around US$100mn.

Speak­ing to me­dia-per­sons on Thurs­day, Vinod Pit­tie, chair­man of SV Pit­tie Group, said that the progress on the planned US$300mn tex­tile man­u­fac­tur­ing unit has been very good and go­ing for­ward the com­pany may fur­ther ex­plore in­vest­ment pro­posal to set up a fab­ric man­u­fac­tur­ing plant as a for­ward in­te­gra­tion ini­tia­tive.

SV Pit­tie So­har Tex­tiles last week an­nounced the com­mence­ment of pro­duc­tion on Unit 2 at its world-class cot­ton yarn pro­duc­tion fa­cil­ity in So­har. The com­pany al­ready com­menced pro­duc­tion of Unit 1 in

De­cem­ber 2018.

“Our aim is that once we com­plete US$300mn in­vest­ments, we will em­bark on a fur­ther ex­pan­sion through for­ward in­te­gra­tion,” Pit­tie said.

Ex­plain­ing the pro­posed ini­tia­tive, he said cot­ton is used as a ba­sic raw ma­te­rial for pro­duc­ing yarn and then yarn is pro­cessed to make fab­rics. “In the next phase, which is still at plan­ning stage, we would like to set up a fab­ric man­u­fac­tur­ing unit. Once fab­ric is man­u­fac­tured, it would give way to other value added prod­ucts such as home fur­nish­ing and stitch­ing of gar­ments etc.”

On in­vest­ment, he said the to­tal in­vest­ment in the ex­pan­sion project would be around US$100mn and they are look­ing at the pos­si­bil­ity of rais­ing the cap­i­tal through the stock mar­ket. On the time­line of the project, he said, “Ev­ery­thing is at the ini­tial stage, so dif­fi­cult to give ex­act time­line of the project, but works re­lated to struc­tur­ing and pa­per­work and other such de­tails are go­ing on.”

“If ev­ery­thing goes as per the sched­ule, soon we are go­ing to make the an­nounce­ment in this re­gard,” Pit­tie added.

Speak­ing about other ini­tia­tives of the com­pany, he said SV Pit­tie So­har Tex­tiles is work­ing on a num­ber of projects in­clud­ing pro­mot­ing cot­ton cul­ti­va­tion in the coun­try and rop­ing in SMEs to pro­mote a tex­tile man­u­fac­tur­ing hub in the coun­try in the near future.

Vinod Pit­tie

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