Welspun to expand with Rs 800 crore investment over next two years
Textiles business Welspun plans to invest around Rs 800 crore ($120.25million) in its home textiles and flooring businesses over the coming two years to meet growing international demand.
Welspun plans to invest Rs 656.5 crore on expanding its home textiles business in the 2022 and 2023 financial years, the business said in a statement, the Economic Times reported. The business, which is India’s largest home textiles producer, aims to increase its towel manufacturing capacity by 20% to produce 1.02 lakh metric tonnes each year in response to growing overseas demand.
“Keeping in view the recent trend of customers focus to track the entire value chain, 'Farm to Shelf', the board has approved an investment in 40 looms for towel fabric at Anjar which represents 7% of installed capacity,” Welspun said in a regulatory filing, the Press Trust of India reported.
The business expects to see financial growth caused by these expansions starting from the first quarter of the 2023 financial year.
“This expansion has a revenue potential of Rs 1,207 crore from the second year of operation,” said Welspun.
Welspun India is part of Welspun Group, which operates in sectors including textiles, steel, oil and gas, warehousing, infrastructure, and flooring, among others.
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