Welspun India Ltd. pledged to invest Rs 4,000 crore in three different textile projects in Gujarat at the ongoing Vibrant Gujarat Summit 2017.
The memorandum of understanding, signed by the group’s Chairman BK Goenka, includes a Rs 2,000 crore investment for the development of an integrated Textile Manufacturing Zone which is expected to supply world class textile products for the global markets.
The investment will be a part of the government's Sagarmala project aimed at developing the country's ports. Kutch has been identified as one of the key locations for the project, the company said in a statement to the stock exchanges. Another Rs 1,000 crore will be used to develop its technical textile business in a bid to enhance and expand production capacity. The remaining Rs 1,000 crore will be invested into Welspun India's advanced textile arm that manufactures material for aerospace, defence and automobile sectors.
Our continuous investment in the state is a testament to our long-term commitment to Gujarat. It is our aim to make Gujarat the textile hub of the world. Welspun continues to invest into development of well-researched products and technology of the future and the current investment is in line with this philosophy.BK Goenka, Chairman, Welspun Group.
Investment into the three projects will generate direct employment for around 8,500 people and indirect employment for around 15,000 people, the company said in the filing.
Welspun Group's total investment in the state now stands at Rs 14,000 crore.
Shares of the textile company, which has a market capitalisation of over Rs 6,900 crore, rose 1.5 percent to Rs 69 after the announcement.
Also Read: India At The Threshold Of Becoming The World’s Most Digitised Economy: Modi At Vibrant Gujarat
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