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Kitex Garments to invest Rs 2,406 cr in Telangana

Wednesday, 22 Sep 2021
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Kitex Garments has signed a memorandum of understanding (MoU) with the Telangana state government for investing Rs 2,406 crore in the state. 
The investment is planned at Kakatiya Mega Textile Park, Warangal and Industrial Park, Sitarampur, Rangareddy district.
The work on Kakatiya Mega Textile Park will commence from by October 2021whereas commercial productions will start by December 2022. The company expects full capacity by December 2023. It will make an investment of Rs 1,113 crore towards the project. 
The work on Sitarampur Industrial Park is expected to start by April 2022 and commercial production of the same will commence by June 2023 with full capacity by June 2024. It will make an investment of Rs 1,293 crore towards the project. 
Kitex Garments has an existing capacity of 4,32,000 units (infants’ garments) per day and proposes to increase to 18 lakh units per day. 
The rationale behind investment is that the Telangana state is among the top three states for ease of doing business. The state is also the third largest cotton producer. The company plans to utilise attractive incentive scheme in Telangana Textile Apparel Policy, better logistics, infrastructural facilities, reduced cost of labour and availability and overall cost reduction.  
The garment is aiming for overall cost reduction and thereby increase in profitability in the long run.
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