Nandan Denim plan to increase its production capacity to 110 million metre

Nandan Denim Ltd (NDL), Ahmedabad based denim fabric maker armed with one of the most sophisticated weaving plants and other facilities, today manufactures superior grey cotton fabrics, khakis and denims. They have earmarked a capacity expansion plan to strengthen its domestic market share, expand exports business and have an increased focus on value added segments.

Nandan plans to increase its production capacity to 110 million metres per annum by the next quarter. At present, it has a denim production capacity of 71 million metres per annum.

Nandam Denim President Govind Sharda said that they are expanding their capacity further to reach 110 million metres by Q1 of FY17 to become the country’s largest denim producer.

Out of total capital outlay of Rs 612 crore for expansion, they have already spent Rs 400 crore and remaining Rs 212 will be spent in next 4-5 months, Sharda said, adding that expansion programme was funded through debt of Rs 430 crore and internal accruals of Rs 180 crore.

Besides, denim fabric capacity, the company is also expanding spinning and shirting segments. The company is increasing spinning capacity from 54 tonnes per day to 124 TPD and yarn dyeing shirting capacity to 10 million metres.

Their target audience are international and domestic brands. To achieve their target, they have undertaken product development to make popular variety of denim that will attract the mass. Of their total denim production 50 percent is pure cotton denim, while 50 percent is a blend with man-made fibre.

There is a lot of opportunity in fabric business both in India and overseas market. After commissioning of the expansion, their exports will contribute about 30 percent of the overall business in two years. The company exports denim fabric to over 28 countries.

NDL commenced operations in 1994 with textile trading business and forayed into textile manufacturing in 2004. The company hopes to register a turnover of around Rs 1,300-1,400 crore in financial year 2016-17.

Over the years, it has grown to become the second largest denim manufacturer in India. Throughout its journey, Nandan has always stood by its commitment to provide the best of quality at the best of price.