Suryajyoti Mill ED refutes CMIE report on yarn output rise

Mr AK Agarwal – Executive Director of Secunderabad-based Suryajyoti Spinning Mills Ltd, which posted revenues of Rs 3.95 billion in fiscal year 2011-12 was reacting to the prediction of the Centre for Monitoring Indian Economy (CMIE) that yarn and fabric output in India would grow 6% and 5.7% respectively in 2012-13.

“Assuming that even if we achieve the growth as anticipated by CMIE, it would not be considered too high, as production of yarn and fabrics had slipped significantly in the previous fiscal year, mainly due to the high volatility in cotton prices and frequent electric power disruptions”, he added. 

However, Mr Agarwal is full of praise for the quarter gone by. He said, “Quarter ending June 2012 has been quite good compared to the same quarter of last year. We are still in the process of finalizing accounts, so I may not be able to throw complete light on the same”.

According to Times of India which quoted a CMIE report, production of cotton yarn will grow 8.5% in the current year, against a negative growth of 8% posted in 2011-12. However, synthetic yarn output will rise by a marginal 3%.  

Fibre2fashion News Desk - India