Raymond plans to invest Rs1400cr in greenfield cotton project at Amravati

Raymond to expand its cotton textile manufacturing footprint plans to invest Rs1,400 crore in a phased manner in its greenfield project at Amravati. Spread across 500 acres, the project is in line with their strategy to expand the cotton textile manufacturing footprint by creating world-class linen, cotton shirting, denim and garmenting at the newly created Textile Park in Amravati, said Gautam Hari Singhania, Chairman and Managing Director, Raymond Group.

The plant is likely to be commissioned by the year end, when completed it will employ 8,000 workers and produce linen, cotton shirting, denim and garmenting.

On the retail side, the company plans to put up 300 Raymond shops and 200 other format shops under Park Avenue and Colour Plus in tier-IV and tier-V cities over the next two years. It currently has 1,100 shops in 450 cities.

The company recently announced plans to manufacture from Ethiopia as the country has preferred access to certain developed markets. They are targeting export revenue of ₹250 crore per annum from Ethiopia and should break even in three years, Singhania said.

Though Raymond will make suits for leading global brands and retailers such as JC Penny, Express, Calvin Klein and UK brand Suitsupply from Ethiopia, it has no plans to launch its own brand in US and Europe.

They will use their brand strength in India and tap neighbouring markets in West Asia, Nepal, Sri Lanka and Bangladesh.