India’s leading apparel export house, Gokaldas Exports has announced that it has commenced commercial production at its new facility in Tumkur, Karnataka.
This unit will contribute about 4.5 per cent to its current capacity once it is fully ramped up and productivity is achieved.
The company has 19 factories with 13,000+ machines.
As per a note of ICICI Securities, the company is currently operating at peak utilisation levels with robust order book for the next six months. To cater to the strong demand, it has planned a capex of Rs. 120 crore over the next two years, which will have the potential to generate incremental revenue worth Rs. 450 crore.
As per the annual report, the company anticipates a substantial revenue growth in FY2021-22 in line with these trends.
The company has a strong order book and is in the process of augmenting its capacity over the near term, to meet demand and clear backlog of production from the first quarter of FY2021-22.
It is important to mention here that the Bengaluru-based leading Indian apparel exporter is also set to invest in Madhya Pradesh (MP). The company will invest in two phases in the Acharpura village of Bhopal. The project will create employment opportunity for around 4,000 people.
