Kerala’s Kitex Group to invest ₹1,000 cr in Telangana

Advantage Telangana: Industries Minister K.T. Rama Rao with the Kitex team in Hyderabad on Friday. Arrangement  

Kerala’s loss seems to be Telangana’s gain with the Kitex Group on Friday agreeing in principle to set up a ₹1,000 crore apparel manufacturing facility at Kakatiya Mega Textile Park in Warangal.

It will be the first phase of investment Kitex has agreed to make, which is expected to create 4,000 jobs, over two years in the State. An official announcement in this regard capped the intense efforts by Telangana to woo the Group, which recently threatened to drop a ₹3,500 crore investment plan in Kerala alleging harassment by the administration there.

Sources said Telangana made a determined, strong pitch to Kitex, highlighting among other things how the State government respects wealth creators and how mega projects such as those of the Kochi-based group are eligible for tailor-made incentives.

While the Industries Department is said to have initiated discussions a few days ago, the investment announcement followed a series of meeting Industries Minister K.T.Rama Rao and senior officials, including Secretary Jayesh Ranjan, had with a six-member Kitex that was flown in a chartered flight arranged by Telangana State government.

A release from the Minister’s office said during the meeting, Mr.Rao gave an overview of the progressive investment policies of the State government and also availability of various resources for textiles industry in Telangana. He explained about the TS-iPASS single window clearance system and the other advantages that Telangana offers, including uninterrupted power supply. The Minister also said the cotton grown in the State is one of the finest in the world.

The Kitex delegation led by Managing Director Sabu M.Jacob made a presentation on the Group’s current activities and expansion plans. Later, it flew to Kakatiya Mega Textile Park in a helicopter and inspected the premises.

The release said the Kitex team was impressed with the Kakatiya Mega Textile Park infrastructure and on returning to Hyderabad met Mr.Rao and announced plans to invest ₹1,000 crore on apparel manufacturing facility in the Park, a move that is expected to generate 4000 jobs.

Welcoming the decision, the Minister assured all possible cooperation to the Group to set up operations in Telangana. Sources said during the meeting earlier in the day the Minister cited how impressed with the State’s track record of industrial growth globally leading companies such Amazon, Facebook, Apple and Google have invested invested in and around Hyderabad. Korea’s Youngone is also investing in the State.

He told the delegation “Telangana government respects wealth creators and is against branding them as wealth looters.” The State government is said to be conveyed to Kitex how the entity will be eligible for mega project status and consequently be provided tailor-made incentives.

Our code of editorial values

This article is closed for comments.
Please Email the Editor

Printable version | Sep 27, 2021 12:27:31 PM |

Next Story