P.R.Venketrama Raja,Chairman,Remco Group.
Modernization and Expansion.
As apart of continuous thrust on modernization programmed, Rajapalayam Mills
has replaced all old open end spinning machines with most modern fully automatic
OE machines at a cost of 45 crore. In addition to this,the company has also
invested an amount of Rs.20.69 crore in modernizing other textile machinery
and equipment.
Rajapalayam Mills has also installed a second line of yarn
mercerizing machines.
In order to take advantage of the current higher demand for yarn,the
company has implemented the expansion of it's spinning capacity by adding
18,144 spindles through the existing building space. The company has
also added 24 air jet Jacquired looms capacity from 122 looms to
146 looms in the existing loom shed without incurring any additional
construction cost.All the new 24 jacquard looms were commissioned during
March 2022.Another commissioned 8 Jacquard looms were commissioned
during the current year.the total capital expenditure during
FY 2021-22 including the above projects was 155.14 crore,which has been
funded from the proceeds of the rights issue,internal accruals and
term loans from banks
Expansion of fabric Division
The quality of fabric produced by Rajapalayam Mills has been well
accepted both in domestic and export markets and the company receives
lot of enquirers from leading brands across the globe for supply of
processed fabric. Encouraged by the demand,the company has decided
to further expand it's fabric division by adding 166 looms and also
decided to establish a new fabric processing unit with a capacity
to process 50,000 meters of fabric per day at Rajapalayam.In order
to strengthen the electrical infrastructure,the company has decided
to install 110 KVA | 11 KVA own substation inside the mills premises
at Rajapalayam.The total outlay for all the above capital expansion
proposal is 400 crore,which will be funded from internal accruals,equity
instruments and from loans from banks.
Source:
THE TEXTILE MAGAZINE ASIA's Leading Textile Industry Magazine.
