Home / Knowledge / News / Apparel/Garments / Bombay Rayon to focus on garments for higher margins
Bombay Rayon to focus on garments for higher margins
06
Aug '08
Mumbai-based Bombay Rayon Fashions, a leading textile and apparel exporter with an annual revenue of Rs13,000 million has plans to lay more emphasis on generating earnings from garments to improve its existing margins.

In an exclusive interview with Fibre2fashion, Ms Prachi Deshpande, Company Secretary, gave detailed information divulging, "the expansion plan does not involve setting up of yarn manufacturing facilities but rather includes developing yarn dyeing, weaving, processing and garment manufacturing facilities in Maharashtra with a total capital investment of Rs11,000 million.

Funds for the project have already been raised by way of equity and term Loans under TUFS. Besides, the Government of Maharashtra has sanctioned special incentive package under the MOU signed with the company."

With the planned 30 metric tons of yarn dyeing per day, 380 weaving looms, 600,000 meters per day of processing and 30 million pieces per annum of garments at various locations, Bombay Rayon aims at becoming the biggest players nationwide in exports.

Garment production has already started at two of the company's plants, one each at Osmanabad and Ichalkaranji in Maharashtra. Revenue contribution from garments is likely to increase to 58 percent while margins are likely to expand from the present 21.3 percent to 27.8 percent by financial year 2010. However, until the new facility of processing yarn is ready at Tarapur, the company would continue to outsource a major part of its cotton yarn requirement.

Additionally, the greenfield units at Tarapur, Islampur, Latur and Nanded would raise the daily fabric processing capacity of the company by 500,000 meters and garment capacity by 100,000 units and would generate some 32,000 direct jobs.

Some of the most prominent clients of Bombay Rayon include DKNY, Guess, Next and Zara. This apart, with the acquisition of Leela Scottosh Lace in July 2007, the list has expanded to admit Banana Republic, Gap and Wal-Mart.

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Myntra

Apparel/Garments | On 3rd Dec 2016

Myntra to be EBITA positive by FY18: CEO Narayanan

Myntra is on track to achieve sustainable growth and be EBITA...

Courtesy: India ITME Society

Textiles | On 3rd Dec 2016

India ITME 2016 opens with over 1050 exhibitors

The India International Textile Machinery Exhibition (India ITME)...

Courtesy: Bruckner

Textiles | On 3rd Dec 2016

Indian textile companies opt for Brückner stenter lines

Indian textile firms Laxmipati Sarees, makers of polyester sarees and ...

Interviews View All

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Smith Vaghasia
Sanado India

Online remains the best destination for shopping

Claudia Kersten
Global Organic Textile Standard

‘GOTS is a very efficient supply chain management tool, especially for...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
December 2016

December 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search