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India : Alps Industries to build new Rs 100 spinning plant

2004-8-11
Alps Industries Ltd, a manufacturer and exporter of home furnishings, has finalized plans to set up Rs 110-crore spinning plant, as part of its expansion programme to make use of the emerging opportunities in the export market in the wake of the dismantling of the quota system after January 2005.

Sandeep Agarwal, the company''s Managing Director said that the company has zeroed on in Kathau in Jammu for locating the proposed plant. Designed to have a capacity of 45 tones per day, the plant will be used to cater to the export as well as domestic markets.

"We had examined various locations in Himachal Pradesh, Jammu and Kashmir and Uttaranchal, before finalizing Kathau. As a spinning plant is a high power consuming facility, we were looking for States that could provide good quality power at cheaper rates," he said.

Alps, which has a market share of about 35 percent in the window covering segment and owns the brand `Vista'' in the home furnishing segment, has been exporting its products to North America.

"Our immediate focus is now on transforming the company into an outsourcing hub. We see the market for outsourcing in this sector expanding in India, as MNC retail chains in Europe and North America are increasing looking at India for outsourcing. Our home furnishings have gained significant acceptance in Europe and the US, especially due to our eco-friendly approach of using vegetable dyes for textiles," Agarwal added.

The company, which markets its products through leading chains such as JC Penny, Springs, Walmart and Homestead, is in advanced stage of negotiations with several foreign buyers for a large order of natural dyes worth Rs 30 crore.

The company operates an integrated textile mill at Delhi, which undertakes spinning, weaving, processing and fabrication for conversion of cotton into ready-to-use home furnishing products, besides manufacturing vegetable dyes using its own technology.
 
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