In a major boost to the textiles and garment sector in Gujarat, two of the leading garment players in the country have announced combined investments in excess of Rs 4,400 crore to be made in the State.
Aditya Birla Group's textile arm Grasim Industries Limited on Tuesday announced its intention to invest Rs 4,100 crore towards setting up two plants each at Vilayat GIDC and Kharach-Kosamba in Baruch district.
An MoU was signed with the State Government, which had recently announced new Garments & Apparels Policy 2017 to boost employment in the garment sector in the State and encourage value-addition from textiles.
As per the MoU, Grasim will employ about 1,300 people directly and indirectly at the facilities which are likely to be commissioned in 2018 and 2020 respectively.
"Investment by such a large industrial group will attract investments by several small industries as the ancillary units. This will boost small businesses and employment in the State," said a State government communique here.
Grasim is planning to set up man-made fibre plant in the State.
Meanwhile, a separate MoU was signed by denim major Arvind Limited announcing its plans to set up a mega apparel factory with a proposed investment of Rs 300 crore and produce 24 million garments per annum.
The mega apparel factory will come up at Dahegam, near Ahmedabad. Gujarat Chief Minister Vijay Rupani and Arvind Limited’s Executive Directors Kulin Lalbhai and Punit Lalbhai signed the MoU at the State Secretariat in Gandhinagar on Tuesday.
Detailing the investment plans, Kulin Lalbhai said, "We plan to commence commercial production in the fourth quarter of 2018 and we plan to create 10,000 jobs, a majority of which will be women. We are excited to support the Gujarat Apparel policy whose aim is to create 1,00,000 jobs in Gujarat."
Punit Lalbhai said, "The Gujarat apparel policy will have a far-reaching impact on helping the state forward integrate into apparel manufacturing and develop vertical solutions for global brands."