The Netherlands-based Good Fashion Fund (Fund), the Laudes Foundation, and the Fashion for Good initiated fund have made an investment of $2.5 million in Coimbatore-based Sri Kannapiran Mills Limited, a leading Indian producer of cotton yarn and sustainable denim fabrics.
The loan will support Kannapiran Mills’ investment in the replacement and expansion of key sustainable equipment in two of their spinning factories (KG Naidu Mill and Balaji Mill) and a Denim fabric weaving and processing factory (KG Fabriks), according to a release by GFF.
The fund will enable SKML to meet the manufacturing demands of its clients, support the company in scaling their holistic sustainability approach, and become more competitive in the global supply chain as brands adapt to upcoming regulations and move towards more stringent sustainability standards.
“With support from the Good Fashion Fund, we are targeting to mature further towards higher environmental standards, creating deep social impact while appropriately enhancing governing standards, said Srihari Balakrishnan, Managing Director of Sri Kannapiran Mills.
Sri Kannapiran Mills, which employs over 2,500 workers, through its fabrics division (KG Fabriks) supplies to Tier 1 factories of brands such as TESCO, Sainsbury, Lucy & Yak, Next, ASOS, and Levi Strauss.