Coimbatore

Industries in Coimbatore resume investments for expansion, new projects

For industries in Coimbatore, post-lockdown months have seen a spurt in demand across sectors. This is leading to capital investments.

Several industries have started investing to expand or modernise existing capacities. Some industries are also investing to tap opportunities in new fields.

According to the Southern India Mills' Association, the current demand trend is likely to continue till March for textile mills.

Many spinning units that had pending expansion or modernisation projects have started investing in these works now.

The demand for spinning machinery and components have seen an increase because of this.

The Indian Texpreneurs Federation convenor Prabhu Dhamodharan also says that every unit is investing in modernisation, depending on the current level of technology.

Some mills are going in for newer technologies too.

Raja M. Shanmugham, president of Tiruppur Exporters' Association, says adds that garment units, mainly those that are into casual wear, are adding machinery to match the order flow.

In the engineering sector too, the MSMEs are seeing orders that are higher than pre-COVID levels. If the trend continues, MSMEs are expected to start investing next fiscal, say industry sources.

Some industries have started investing in newer sectors.

According to Suraj Shantakumar, Director- Kirtilals, and also Managing Director of SJK Innovations that is installing automatic tray retrieval systems at airports, while the existing business models are getting disrupted in the current market scenario, there are new opportunities opening up.

"This is the right time to innovate and create businesses that address the new problem statements," he says.

Vijay Prasad, Executive Director of Annapoorna Masalas and Spices, says the pandemic has revealed the fragility of markets and supply chains.

Organisations with cash reserves want to consolidate their position in the market, especially in the spices segment, and investors tend to leverage on the opportunities during such times.

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Printable version | Mar 8, 2021 9:55:58 AM | https://www.thehindu.com/news/cities/Coimbatore/industries-in-coimbatore-resume-investments-for-expansion-new-projects/article33595763.ece

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