Textile machinery manufacturer Lakshmi Machine Works (LMW) has set out Rs200-crore development and modernization programme to raise its spinning machinery production.
Giving reason for the programme, R. Rajendran, Chief Financial Officer, says that the spinning machines have been more in demand since July 2004.
Thus, Indian textile industry is creating more spinning capacity to cash on the opportunities, especially after the elimination of quotas.
Scheduled termination of the Technology Upgradation Fund Scheme in March 2007 is considered another reason for this programme.
Company also mulls over production of value-added products which has helped increase the demand for yarn in local markets also, said Rajendran.
The company looks forward to increase its annual production from about 1.8 million spindles to about 2.7 million spindles by this programme.
To strengthen its programme, the company has also acquired Jeetstex Engineering Limited, a sick textile engineering company.
Company plans to finish this programme by the middle of 2006-07, says Rajendran.
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