Ahmedabad-based Nandan Denim Limited, which started manufacturing operation in 2004 with a 10 million meters capacity in denims and in the last decade they have been continually expanding and they has set their focus on fabric making and emerge as one of the largest denim suppliers not only in India but globally also to be among top five players of textiles particularly denim.
NDL have been expanding all through these 10 years. But the last expansion that they have undergone is about Rs 612 crore expansion plans which will take their denim capacity from 70 million erstwhile to 110 million meters per annum capacity.
They are expanding their capacity further to reach 110 million metres per day by March 2016. There is a lot of opportunity in fabric business both in India and overseas market. After commissioning of the expansion projects, their exports will contribute about 30 per cent of the overall business in two years, said Deepak Chiripal, Director, NDL.
They are also doing lots of backward integration and vertical integration as well as lateral integration. Basically they are trying to make a company which is world class and which is geared up for meeting the demands for the next decade too.
Because this is a fashion product they are investing a lot not only on hardware but also on software for market research and understanding the fashion aspect and delivering the fashion aspect. So lot of efforts is being put into those areas and they will continually strive to do that. Next couple of years are planned to be in this direction.
Besides denim fabric capacity, the company is also expanding spinning and shirting segments. Currently, company’s export revenues are 13 percent of the overall business of Rs 281 crore for the June quarter.
Chiripal said that their target audience are international and domestic brands. To achieve their target, they have undertaken product development to make popular variety of denim that will attract the mass. Of their total denim production 50 percent is pure cotton denim, while 50 per cent is a blend with man-made fibre.
NDL sees good opportunity in export business with Chinese denim makers facing slowdown amid challenges of high cost and reduced returns.
NDL’s financials will become stronger once the expanded capacity will go on stream, said Govind Sharda, president of the company.
Nandan Denim Limited is inhoused with one of the most sophisticated weaving plants and other facilities to manufacture superior quality grey cotton fabrics, khakis and denims. It also has an ISO certification and Oeko-Tex certification on its credit.
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