The Hindu Business Line : Hanil Era Textiles increases weaving capacity

THE Rs 120-crore Hanil Era Textiles Ltd has increased its weaving capacity to 108 looms from the earlier planned 72-loom expansion announced in January.

In a press release, Mr R. K. Agarwal, Chairman, Hanil Era Textiles, said: "We have also added processing and dyeing capacity to the original project, giving us tremendous integration. By adding this facility and adding more looms, we have increased project cost by Rs 30 crore to Rs 80 crore."

The project will now be executed in three phases — phase I for grey fabrics and home furnishings (to be completed in May); phase II for processing and dyeing ( in June); and phase III for terry towels ( in September).

The modernisation programme will cost Rs 15 crore and the expansion, Rs 65 crore. This will be funded by way of term loans (Rs 65 crore) and internal accruals (Rs 15 crore).

With the export market looking brighter, the company is hoping to offer more value-added products at cheaper rates. Hanil Era is 100 per cent EoU between New Era Fabrics and Hanil Synthetics of South Korea. Hanil Era has a yarn manufacturing capacity at Patalganga in Maharashtra where it makes worsted, cotton and blended yarn.

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